Key Takeaways:
- BNB’s price is showing many bearish signs below $220.
- A major bearish trend line is forming with resistance near $275 on the weekly chart.
- The price could decline heavily if there is a weekly close below $200.
NEW DELHI (CoinChapter.com) — BNB is struggling to start a recovery wave above $220. It seems like the bulls could be in serious trouble if the price slides below $200.
BNB Price Faces Trouble
In the past few weeks, there was a steady decline in BNB price from well above $300. The bears remained in action and were able to push the price in a bearish zone below $280.
The recent recovery in Bitcoin and Ethereum also failed to spark an upside correction in BNB. It seems like the regulatory concerns are still troubling Binance. Recently, Sam Bankman-Fried of FTX accused Binance of leaking FTX’s balance sheet.
He stated:
“Binance leaked a balance sheet; blogged about it; fed it to Coindesk; then announced very publicly that they were selling $500m of FTT in response to it while telling customers to be wary of FTX”.
The former Alameda CEO, Caroline Ellison, also pointed out the same.
Selling pressure is mounting on BNB and could spark a major breakdown. The price is trading well below the $250 pivot level and the 50-week simple moving average (blue). It is also below the 76.4% Fib retracement level of the last key increase from the $183 swing low to the $397 high.
BNB price is now testing a major breakdown support at $200. The next major support is near the $182 zone, below which the price might accelerate lower.
The stated case could test the 1.236 Fib extension level of the last key increase from the $183 swing low to the $397 high at $132. Any more losses could open the doors for a move toward the $50 support zone.
Fresh Upside?
On the upside, BNB is facing resistance near the $220 zone. The next major resistance could be near the $235 level. The main resistance is now forming near the $275 level and the 50-week simple moving average (blue).
There is also a major bearish trend line forming with resistance near $275 on the weekly chart. A clear move above the $275 and $280 resistance levels might start a fresh uptrend. In the stated case, the price might be $350. Any more gains might send the price toward the $400 resistance level.
Overall, BNB’s price is struggling to stay above the main support at $200. A weekly close below $200 and $182 could open floodgates. Conversely, the price might start a decent increase and recover toward $235.
