BNB Price Struggles Below $850 – Is Momentum Fading Fast?

[Ben Graham]

BNB price is consolidating losses below the $850 zone. The price is now facing hurdles near $855 and might start another decline in the near term.

• BNB price is correcting gains and traded below the $855 support zone.
• The price is now trading below $850 and the 100-hourly simple moving average.
• There is a short-term contracting triangle forming with support at $845 on the hourly chart of the BNB/USD pair (data source from Binance).
• The pair must stay above the $840 level to start another increase in the near term.

BNB Price Dips To Support

After a steady increase, BNB price failed to clear the $868 zone. There was a downside correction below the $865 and $855 levels, like Ethereum and Bitcoin.

The price even dipped below $850 and tested $842. A low was formed at $842 and the price is now attempting a fresh increase. There was a move above the 23.6% Fib retracement level of the downward move from the $864 swing high to the $842 low.

The price is now trading below $850 and the 100-hourly simple moving average. Besides, there is a short-term contracting triangle forming with support at $845 on the hourly chart of the BNB/USD pair.

On the upside, the price could face resistance near the $850 level. The next resistance sits near the $855 level and the 61.8% Fib retracement level of the downward move from the $864 swing high to the $842 low. A clear move above the $855 zone could send the price higher.

In the stated case, BNB price could test $865. A close above the $865 resistance might set the pace for a larger move toward the $880 resistance. Any more gains might call for a test of the $888 level in the near term.

Another Decline?

If BNB fails to clear the $855 resistance, it could start another decline. Initial support on the downside is near the $845 level. The next major support is near the $842 level.

The main support sits at $835. If there is a downside break below the $835 support, the price could drop toward the $820 support. Any more losses could initiate a larger decline toward the $800 level.

Technical Indicators

Hourly MACD – The MACD for BNB/USD is losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.

Major Support Levels – $842 and $835.

Major Resistance Levels – $855 and $865.