Binance Coin (BNB), the native token of the Binance cryptocurrency exchange, has been mired in a prolonged downtrend but may be gearing up for a significant price swing in the near future, according to technical analysis by Mags.
BNB hit an all-time high of $665 in May 2021 but has declined steadily since then, currently trading around $209. This area has emerged as a crucial support level for BNB, with the price bouncing off it multiple times on sharp sell-offs. So far, there are no strong signs of bullish reversal or bearish breakdown at this key inflection point.
From a technical perspective, BNB recently broke down from a massive rising wedge pattern that had been consolidating for over 385 days. Breakdowns from long-term chart patterns typically lead to a continuation of the prevailing trend, which has been bearish for BNB since mid-2021.
If BNB decisively loses the $209 support, technical analysts expect a larger drop toward the $165-$150 zone. However, another scenario is a brief breakdown below $209 followed by a quick reclaim and rally to the middle of BNB’s current trading range. The risk-reward favors bulls comparatively in this second outcome.
Whichever way the price heads, some type of high-impact move seems imminent for BNB in the near future. Traders should keep a close eye on the cryptocurrency as a potential short-term trading opportunity may be setting up. Fundamental catalysts like major news events could help trigger the anticipated volatile price action.
The BNB (Binance Coin) has experienced varied price performance over different time frames. In the last 24 hours, BNB has seen a 1.5% increase in its price, valued at $211.68, with a 24-hour trading volume of $341,427,880. The coin has been trading in the 24-hour range of $207.81 to $211.62. Over the past seven days, BNB has experienced a -2.2% decline in its price.
However, it has managed a slight increase of 1.4% over the past 14 days. When considering a longer time frame of 30 days, BNB has again faced a decline in its price by -2.2%. The coin currently holds a market cap of $32,533,279,408, ranking 4th in the cryptocurrency market.
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