BNB/USD has begun trading today near important lows, as broad cryptocurrency price action has taken a nasty turn downwards and sentiment is being tested.
BNB/USD is near the 416.0000 price range in early trading this morning as speculators have turned nervous in the broad cryptocurrency market. Having suffered a downward trend this weekend, BNB/USD continued to see selling erupt late last night and hit a low of nearly 411.3600 early today. On the 8th of April BNB/USD was trading near the 441.0000 ratio.
While the broad cryptocurrency market has taken a turn for the worse and values have dropped in BNB/USD, Binance has not broken through support levels seen in the last week of March. Depending on the technical perceptions a trader has this can be interpreted in a couple of ways.
Since the 22nd of March, BNB/USD has delivered a fairly durable price above 400.0000. If this morning’s lows are challenged again downward and prove vulnerable nervous sentiment could be further sparked. And move towards the 412.00 mark would likely cause skeptics to believe another stronger downturn may be about to emerge. If the 410.0000 vicinity were suddenly to display weakness this would be a negative indicator for many.
Optimistic bullish traders may believe the current price level of BNB/USD is a buying opportunity. However the short term trend may not back up that theory. The recent trajectory downward which was sparked in the middle of the past week did not reverse higher this weekend, and BNB/USD has started Monday with a vulnerable downward cycle
Speculators should expect fast market conditions near term. Since trading near the 360.0000 level on the 14th of March, BNB/USD has delivered a significant run upwards. Perhaps the current downturn is profit taking in a normal cyclical market. Yet the fact that BNB/USD is still suffering from doubts which were caused during the long term bearish market which got underway in November of 2021. Strong selloffs which last longer than a few days raise the fear of more downward trajectories, and a return to lower support levels.
Speculators who are cautious should be extra careful in the near term. BNB/USD and the broad cryptocurrency market appear rather fragile and ready to display more volatility. Selling BNB/USD on small reversals higher may feel like a tempting opportunity for bearish traders, but solid risk management will certainly be needed to guard against sudden strong moves higher.
Binance Coin Short-Term Outlook
Current Resistance: 419.9500
Current Support: 413.5000
High Target: 426.9500
Low Target: 405.4900