Binance Coin Price Analysis: BNB retests $290 as a resistance, reversal to follow?

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TL;DR Breakdown

  • BNB established a lower low around $260 overnight.
  • BNB/USD rallies to $290 resistance.
  • Market set to decline again.

Binance Coin price analysis indicates bearish price action over the next 24 hours as previous support around $290 has been retested as resistance. Therefore, we expect BNB/USD to reject further upside and start heading towards further lows later today.

Binance Coin Price Analysis: BNB retests $290 as a resistance, reversal to follow? 1
Cryptocurrency heat map. Source: Coin360

The overall market trades in the green over the last 24 hours. Bitcoin is up by almost 6 percent, while Ethereum is around 8.2 percent. Dogecoin (DOGE) is among the best performers with a gain of 13.5 percent.

Binance Coin price movement in the last 24 hours: Binance Coin rallied towards previous support

BNB/USD traded in a range of $260.07 – $288.46, indicating a strong amount of volatility over the last 24 hours. Trading volume has decreased by 11.27 percent and totals $1.72 billion. The total market capitalization stands around 48.4 billion, ranking cryptocurrency in 4th place overall.

BNB/USD 4-hour chart: retests $290 mark as a resistance

On the 4-hour chart, we can see the Binance Coin price rallying towards $290 previous support in an attempt to set another lower high.

Binance Coin Price Analysis: BNB tests $290, reversal to follow?
BNB/USD 4-hour chart. Source: TradingView

Binance Coin price action has severely declined over the past days after a second lower low was set around $320 resistance on the 15th of July. From there, BNB/USD lost around 20 percent until a strong lower low was set around the $260 mark.

Yesterday, Binance Coin mostly consolidated around the newly found support area as bulls gathered momentum to regain some of the loss seen earlier this week. Earlier today we saw BNB/USD start to rally higher until previous major support of around $290 was reached.

Currently, we can see Binance Coin price trading just below the resistance, with no clear signs of rejection as of now. Therefore, BNB/USD could still reach further highs and establish another lower high, from which to push towards another lower low later this week. However, currently, further price action development is needed for a more accurate judgment on where BNB/USD is trading next.

Binance Coin Price Analysis: Conclusion 

Binance Coin price analysis indicates bearish momentum to follow later today as the previous support around $290 currently gets retested. Therefore, BNB/USD is likely to reverse later today and start heading lower once again, with the next major support target located around $225. 

While waiting for BNB/USD to reverse, read our guides on Bitcoin fees, what can you buy with Bitcoin, DeFi advantages.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.