Bitcoin (BTC) struggled to maintain beyond the $20.8K mark some weeks ago. The amplified selling momentum witnessed Bitcoin falling to $19.5K before retesting the $20.4K territory liquidity. The near-term structure remained bearish, and the assets already explored liquidity around the $19.8K zone.
An upside might materialize within the market considering price action. BNB also wavered around the demand zone at $276 for most of last week. Can Binance Coin also climb to explore the $300 mark in liquidity search?
Binance Coin 4Hr Timeframe
Binance Coin seemed to create a descending triangle setup from mid-August to this publication, printing several lower peaks from the $315 mark. Also, the price formed an impressive base in the $270 -$275 range. Considering this development, BNB might dip beneath $272. Moreover, the alt can retest the area as resistance, welcoming further dips toward $240.
Meanwhile, the $270 mark served as resistance and support from mid-to-late July. Moreover, the value area restricted bearish advances within the past few weeks.
The 4hr chart showed momentum sided with bearish tendencies, according to the Relative Strength Index (RSI). The momentum indicator has failed to steady beyond then neutral-50. Also, it could not surge beyond the 60 mark to indicate bullish strength.
The on-balance volume has dropped steadily and highlighted selling momentum. A bullish cross on the Stochastic Relative Strength Index indicated a slight bounce might emerge to hit the descending trend-line as resistance.
Binance Coin 1Hr Timeframe
Successive demand zone tests would possibly weaken the support zone. BNB has tested the $275 value area (repeatedly) within the last ten days and might cave. Also, the A/D maintained steady declines, showing an absence of substantial buying momentum. The Awesome Oscillator and the Relative Strength Index revealed bearish strength.
Northbound actions will likely meet a stiff hurdle at $287 – $295. Thus, even though Binance Coin hovered at a support level, the rebound could not jump that much. Scalp longs might be profitable though investors should carefully manage risks.
Final Thought
The coming two days might see BNB embarking on upsides to $300 & $316 or beneath $270 to $242. That depends on whether BTC would defend $19.6K – $19.8K as support. The momentum indicators confirmed bearish strength & amplified selling momentum behind BNB within the previous few days.
The accumulation absence around a crucial demand territory indicated that possible BTC rebounds to $290 – $300 might be short-lived. A BTC move past $21.5K plus BNB converting $300 to foothold remains essential to flip BNB’s bias to bullish in the coming week or two.
Editorial credit: K.unshu / shutterstock.com
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