Key Takeaways:
- BNB price is facing a strong resistance near $260.
- A crucial bearish trend line is forming with resistance near $260 on the daily chart.
- The price could start another decline if there is no break above $260.
BNB declined below $280 and $260. The price is attempting a recovery wave, but the bears might remain active near the $260 zone.
BNB Price Breaks Key Support
In the past few days, there was a steady decline in BNB price against the US Dollar, more than bitcoin and ethereum. The price formed a top near the $360 zone and declined below the $300 support.
The decline gained pace below the $280 support and the 50-day simple moving average (blue)—the price traded below the $260 support to move into a bearish zone. The bulls appeared near the $220 zone. A low is around $219.3, and the price is now correcting higher.
BNB’s daily price chart | Source: BNBUSD on TradingView.com
There was a minor increase above the $240 level. In addition, the price surpassed the 23.6% Fib retracement level of the key decline from the $317 swing high to the $220 low.
BNB is still trading well below $280 and the 50-day simple moving average (blue). On the upside, the price faces resistance near the $260 zone. A crucial bearish trend line is forming with resistance near $260 on the daily chart.
The next major resistance could be near the $268 level. It is close to the 50% Fib retracement level of the key decline from the $317 swing high to the $220 low.
The main hurdle is near the $280 level. A clear move above the $268 and $280 resistance levels might start a decent increase. In the stated case, the price might test $300. Any more gains might send the price toward the $320 level.
More Pain?
If not, the price might drop below the $235 level. The next major support is near the $220 zone. Any more losses could open the doors for a move toward the $200 support zone.
Overall, BNB’s price is slowly increasing and facing a major hurdle near $260. The price might avoid more downsides if there is a close above the $260 resistance. Conversely, there is a risk of another decline toward the $220 support or even $200 in the near term.
