Binance Coin [BNB]: Bears Could Drag Price Near $200

Binance Coin, BNB, entered a consolidation mode after derailing from its massive run above $340. However, it was one of the best-performing crypto-asset in recent weeks and was now the fourth-largest by market cap in the leaderboard.

Despite this, it was turned down after the formation of a local top in the first week of March. Since then, Binance Coin has failed to make a major breakthrough and was down by 10.78% over the past seven days.

Currently, BNB was trading at $245.83 after a decline of 5.37% over the last 24-hours. At the time of writing, the crypto-asset recorded a market cap of $37.8 billion and a 24-hour trading volume of $2.51 billion.

Binance Coin [BNB] Daily Price Chart:

After noting an exponential growth within the first three months of 2021, Binance Coin cool down within the tight range of $190-$295. As opposed to the depreciating price candles, the moving averages appeared to be slopping upwards at a rapid pace.

Currently, both the 50 DMA [Pink] as well as the 100 DMA [Blue] formed crucial support points for BNB’s price action. However, if it continues this trend against the declining price of the crypto-asset, a major fall appears to be inevitable.

Technicals Align With The Bears

Volatility in the market has reduced, but, as depicted by the above chart, the technicals for Binance Coin’s near-term price momentum does not look promising.

The dotted markers of Parabolic SAR, for instance, continued to hover above the candlestick arrangement and resisted an upward push and target highs. This suggested a bearish phase for the crypto-asset

The MACD also deeper into the bearish realm and no signs of a positive reversal was seen depicting BNB’s falling demand.

The RSI has also been falling in consistent with the token’s price movement and was currently close to the 50-median line. This indicated that the sell-pressure has intensified in the market which could potentially pull the price further down.

If the price turns down from the nearest resistance of $269, it will indicate that the market participants are booking profits on surges. At this stage, the bears will attempt to capitalize on this weakness and sink the price below the 50 DMA. BNB could potentially test immediate support level of $225 and $210. A failure hold the latter could further drag the price to $126.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.