Binance Coin bulls may take over as BNB finds support at $350
- Binance Coin price slips below critical Ichimoku support zone.
- The threshold to put BNB into a significant sell-off is not far.
- New 2022 and seven-month lows are coming up.
Binance Coin price has fallen more than 31% since last Monday and over 51% from the all-time high. A deeper push lower is likely if the bulls fail to keep Binance Coin above its final support zone.
Binance Coin price must hold $350, or a 30% drop is likely
Binance Coin price sits inside its strongest and final support level before initiating a collapse to new seven-month lows. The following Ichimoku, Fibonacci, and Volume Profile price levels below indicate the cluster of support that BNB is currently trading inside:
- Volume Point Of Control at $335
- 61.8% Fibonacci retracement at $340
- Senkou Span A at $340
- Senkou Span B at $355
- 50% Fibonacci retracement at $368.
Binance Coin is presently trading below all of the above levels, saving the 61.8% Fibonacci retracement at $340 and the Volume Point of Control at $335. A weekly close below those zones puts Binance Coin price into an Ideal Bearish Ichimoku Breakout setup, with zero Ichimoku support remaining on the weekly chart.
BNB/USD Weekly Ichimoku Kinko Hyo Chart
In the event of a sell-off below $340, the next support zone doesn’t appear until the 38.2% Fibonacci retracement at $240. In that scenario, Binance Coin price will likely shift the Relative Strength Index into a bear market and the Composite Index to new historical all-time lows.
Invalidation of this bearish outlook requires Binance Coin price to close above Senkou Span B and keep the Chikou Span above the candlesticks. That means BNB needs to close at or above $360 this week, but in two weeks, it needs to close above $417.
Author
Jonathan Morgan
Independent Analyst
Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.
