Why the Binance Coin price is causing doubt amongst investors
- BNB price action signals bullish turbulence.
- Binance Coin price is rising under low volume.
- Invalidation of the downtrend scenario is a breach at $375.
Binance Coin price appears to be retracing in a zig-zag fashion, which could cause a steep decline back to $217.
Binance Coin price is in a critical spot
Binance Coin price seems to be one of the only cryptocurrencies creating a distinct pattern from the rest. Binance Coin price has been trending upwards, printing small bullish candlesticks within the uptrend. The small-bodied candles are not equal to or greater than the bearish candles that sent BNB into the downtrend towards $217. This could be early evidence that the current uptrend progression for BNB is taxing investors behind the scenes.
Binance Coin price currently ascends within a parallel channel at $327. If the bulls cannot create bullish price action above the channel, the entire uptrend since May 19th at $290 will be viewed as a corrective rally. The bears, aware of this scenario, could attempt to send the BNB price back to the origin point of the trend channel and potentially further into $270 and $250 if intraday traders catch hold of the bearish momentum.
BNB/USDT 1-Day Chart
Invalidation of the bearish uptrend lies at $375. If the bulls can successfully tap this level, they could conquer the macro trend and potentially send prices as high as $465, resulting in over a 40% increase from the current BNB price.
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
