Published 14 seconds ago
For over two months, the Binance coin price witnessed a slightly inclined trend as it resonated between the two trendlines of an inverted flag pattern. Amid the July-August correction in the crypto market, the sellers breached the pattern’s support trendline on August 15th. This breakdown signaled the continuation of the prevailing downtrend and plunged to a price below $220 support. Should you sell on this?
BNB Price Daily Chart: Key Points
- Completion of inverted flag pattern hints prolong correction in BNB Price
- A breakdown below $220 support triggers an 8% drop
- The intraday trading volume in the BNB coin is $888.4 Million, indicating an 80% gain
The cryptocurrency market experienced a notable bloodbath on August 17th, as the leading digital currency, Bitcoin, faced aggressive selling. This was likely instigated by SpaceX’s decision to divest its holdings in Bitcoin, creating a ripple effect of increased selling pressure throughout the crypto space. Consequently, Binance coin, the fourth largest cryptocurrency, saw a substantial outflow of funds and recorded a 5.99% intraday loss.
This drop has a high momentum breakdown below $220 support indicating the sellers obtained another resistance to pressurize buyers. By the press time, the BNB price trades at $218, with an intraday loss of 0.05%.
If the coin price shows sustainability below $220, the price will likely tumble another 8% to hit the $200 psychological level.
Can Binance Coin Make a Recovery Back to 230?
In the daily time frame chart, the BNB price shows two candles with lower price rejection near the $212 level. This demand pressure from below could trigger a minor pullback to test the breached support of $220. This retest will check price sustainability for interested short-sellers and offer new entry opportunities for them. However, in case the coin price breaks above $220, the anticipated pullback could reach $230.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.