BNB Price Could Restart Rally If It Is Able To Hold This Key Support
BNB price rallied further above $600 before it faced sellers. The price corrected gains and now testing an important support at $500.
- BNB price started a downside correction from the $645 resistance zone.
- The price is now trading near $515 and the 100 simple moving average (4 hours).
- There is a key bearish trend line forming with resistance near $520 on the 4-hour chart of the BNB/USD pair (data source from Binance).
- The pair could attempt a fresh increase if it stays above the $500 support zone.
BNB Price Holds Support
In the last BNB price prediction, we discussed the chances of more gains above the $550 resistance zone. The price continued to rise and broke many hurdles near the $580 level.
BNB even outperformed Bitcoin and Ethereum with a move above the $600 resistance. Finally, it faced resistance near the $645 zone. A high was formed near $645 and the price recently started a downside correction. There was a move below the $600 level.
The price declined below the 23.6% Fib retracement level of the upward move from the $365 swing low to the $645 high. The price is now trading near $515 and the 100 simple moving average (4 hours). Immediate resistance is near the $520 level.
There is also a key bearish trend line forming with resistance near $520 on the 4-hour chart of the BNB/USD pair. The next resistance sits near the $550 level. A clear move above the $550 zone could send the price further higher.
Source: BNBUSD on TradingView.com
In the stated case, BNB price could test $580. A close above the $580 resistance might set the pace for a larger increase toward the $600 resistance. Any more gains might call for a test of the $645 level in the coming days.
More Losses?
If BNB fails to clear the $520 resistance, it could continue to move down. Initial support on the downside is near the $500 level or the 50% Fib retracement level of the upward move from the $365 swing low to the $645 high.
The next major support is near the $470 level. The main support sits at $430. If there is a downside break below the $430 support, the price could drop toward the $400 support. Any more losses could initiate a larger decline toward the $350 level.
Technical Indicators
4-Hours MACD – The MACD for BNB/USD is gaining pace in the bearish zone.
4-Hours RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.
Major Support Levels – $500, $470, and $430.
Major Resistance Levels – $520, $550, and $580.
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