Binance Coin Drops Sharply After a False Breakout, Resumes Uptrend

Today, BNB is on the rise again, trading at $518 at the time of writing. Buyers have a difficult task on their hands as the altcoin faces resistance at the $550 and $580 levels. If the buyers overcome the resistance at $580 on December 27, Binance Coin would be out of the downward correction. The cryptocurrency will rise to regain the previous highs of $620 and $660. Currently, BNB is moving above the $500 support and BNB/USD will continue to fall to $461 if the current support is broken.

Binance Coin indicator reading

BNB is at level 41 on the Relative Strength Index for period 14. Relative Strength has remained stable while the altcoin continues its downward correction. Altcoin is already below the 20% area of the daily stochastics. The market has reached the oversold area. Selling pressure has reached bearish exhaustion. The market will rise again when buyers appear in the oversold region of the market.

Technical indicators:  

Major Resistance Levels - $700 and $750

Major Support Levels - $400 and $350

What is the next direction for BNB?

On the 4-hour chart, Binance Coin is in a range move. The cryptocurrency is fluctuating between the price levels of $508 and $550. Yesterday, the market dropped to a low of $508 as the bulls bought the dips. Binance is expected to rise as selling pressure eases.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.