We have witnessed the collapse of many large projects in the famous crypto money markets with high volatility. The collapse of FTX, which is only a year old, was a big lesson for investors. BNB Coin, which is among the biggest cryptocurrencies, did not collapse but entered a shaken period. So, what is the expectation for the next stage?
BNB Coin Commentary
The bad news is that at the time of writing, the BTC price lost $38,000 and a popular whale closed a long position worth 8,000 BTC. This situation shows that the narrative of parabolic rise above resistance may have begun to weaken. In short, the outlook for BNB Coin has started to turn worse (as general market sentiment turns negative) before even considering its specifics.
Since June 2022, the price, which bounced from the long-term horizontal support area, has been holding above the region since then. Although the area was lost in July, it was quickly regained.
Last week, the BNB Coin price climbed to $275, but could not continue this either, and the upper wick emphasizes the dominance of sellers. Of course, the Binance settlement and CZ’s resignation also played a role in the recent negative atmosphere.
The RSI on the weekly suggests that the bulls are at an advantage, but this could turn negative within a few days.
BNB Coin Price Prediction
Technical readings on the weekly chart support the downward trend. The daily chart is less negative with the fluctuation in the BTC price, but the negativity can increase as BTC starts to rebound from resistance.
If the BNB Coin price, which maintains the $225 support area, is successful, it could form a double bottom indicating an uptrend. However, things seem to be getting harder for BNB Coin in an environment where the BTC price is exposed to a potential overselling wave. If BTC sales deepen and bears wanting to turn the monthly close in their favor enter the game, the $225 support could be lost.
In the case of possible support loss for BNB Coin, a retreat to $205 is likely. Below that, fear and panic could increase.
- High market volatility impacts BNB Coin.
- Technical analysis suggests a possible downtrend.
- Price predictions hinge on critical support levels.
