Binance Coin price pops higher against all odds
- Binance Coin price pops over 1% higher while Ethereum’s Merge melt-down taunts most other cryptocurrencies.
- Although the BNB price might be popping higher, hidden issues lurk under the hood.
- The forecast remains unchanged for a drop back to $212.50.
Binance Coin (BNB) price is popping higher while most other cryptocurrencies are on the back foot, unable to recover from the intraday melt-down on the back of Ethereum’s Merge. More things are likely cooking under the hood, as overall cryptocurrency support is fading. That Elon Musk has other things in the fire and is not able to come out in support of cryptocurrencies has lessened their popular appeal. Now that Matt Damon and Lebron James are demanding their crypto advertisements be pulled, is another telling sign of an industry-wide collapse in the making.
BNB price is in dire need of Matt Damon
Binance Coin price looks to be fighting back intraday in a challenging market with cryptocurrencies taunted by Ethereum’s price collapse after the Merge and Bitcoin not able to rally away from $20,000. Support is also fading with a very battered equilibrium where the dollar outweighs almost every crypto- and alt currency. You can’t blame Matt Damon and Lebron James for demanding to pull their ads for an industry that has gone from a $3B market capitalization to just $1B in nine months.
BNB price thus has a lot going against it, and the little recoveries are rather the last impulses of what appears to be a dying body, ready to go into zombie mode. Should next week continue to be negative, with markets focused on the Fed coming out with a surprise 100 bps rate hike, expect a melt-down with $260 as first support. Next, the area around $230 would be the last level seen before Binance Coin price hits $212.50 – a total 22% decline from where BNB price is currently trading.
BNB/USD Daily chart
On the other hand, it is possible the recovery currently underway could well extend should price action refrain from making new lows. Traders would get a more secure entry level, away from this week’s low, to build up some long positions going into the weekend. From there, a quick recovery towards $290 is possible as more upside would be limited with the Fed central bank meeting as a key event for next week.
Author
Filip Lagaart
FXStreet
Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.
