Why Binance Coin price could crash below $300

  • Binance Coin price inches closer to a major capitulation zone. 
  • Significant downside pressure to levels not seen since March 2021 is increasingly likely. 
  • Bulls have limited time to stave off a significant crash.

Binance Coin price, like the rest of the cryptocurrency market, is at risk of a major crash if it fails to hold onto its last levels of support. 

Binance Coin price action is on pace to fall another 40%

Binance Coin price has one primary support structure left on its weekly chart: the $340 to $360 value area where the bottom of the Ichimoku Cloud (Senkou Span B) and the 2021 Volume Point of Control exist. 

Nearly all the conditions for an Ideal Bearish Ichimoku Breakout of Binance Coin price are present:

  1. The current close is below the Tenkan-Sen and the Kijun-Sen. 
  2. The Tenkan-Sen below the Kijun-Sen. 
  3. Future Senkou Span A is below Senkou Span B. 
  4. Chikou Span is below the bodies of the candlesticks and in open space (a condition where the Chikou Span won’t intercept, horizontally, the body of any candlestick over the next five to ten periods). 
  5. The current close is below the Cloud. 

The only condition missing is number five. A close at or below $359 would confirm an Ideal Bearish Ichimoku Breakout. Additionally, a close at $359 would put BNB below the final major support from 2021’s high-volume node. From there, Binance Coin price could collapse towards the 100% Fibonacci expansion at $231. 

BNB/USDT Weekly Ichimoku Kinko Hyo Chart

If Binance Coin price bulls want to invalidate any near-term bearish outlook, they’ll need to pursue a weekly close above the Ichimoku Cloud at or above $444. If that occurs, the beginning of a new uptrend may not be far away.

 
 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.