BNB price struggled to climb above 0 and corrected gains against the US Dollar. It is now approaching a major support zone at 0 and 5.
- BNB price is slowly moving lower toward the 0 support against the US Dollar.
- The price is now trading above 5 and the 100 simple moving average (4 hours).
- There is a key bullish flag pattern forming with resistance near 5 on the 4-hour chart of the BNB/USD pair (data source from Binance).
- The pair might gain bullish momentum if there is a clear move above 8.
BNB Price Eyes Fresh Increase
These past few days, BNB price saw a decent recovery wave above the key 0 resistance zone. Bitcoin rallied over 20% to ,000 and helped BNB avoid a major downside break.
The price climbed above the 5 and 0 resistance levels. However, it struggled near the 8-0 zone. A high was formed near 7.6 and the price recently started a downside correction. There was a move below the 5 level.
BNB dipped below the 50% Fib retracement level of the upward move from the 8.3 swing low to the 7.6 high. It is now trading above 5 and the 100 simple moving average (4 hours). There is also a key bullish flag pattern forming with resistance near 5 on the 4-hour chart of the BNB/USD pair.
If there is a fresh increase, the price could face resistance near the 5 level. The next resistance sits near the 8 level. A clear move above the 8 zone could send the price further higher. In the stated case, BNB price could test 8. A close above the 8 resistance might set the pace for a larger increase toward the 0 resistance.
More Losses?
If BNB fails to clear the 8 resistance, it could start another decline. Initial support on the downside is near the 0 level and the 61.8% Fib retracement level of the upward move from the 8.3 swing low to the 7.6 high.
The next major support is near the 5 level or the 100 simple moving average (4 hours). If there is a downside break below the 5 support, the price could drop toward the 7 support. Any more losses could initiate a larger decline toward the 2 level.
Technical Indicators
4-Hours MACD – The MACD for BNB/USD is losing pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for BNB/USD is currently above the 50 level.
Major Support Levels – 0, 5, and 7.
Major Resistance Levels – 5, 8, and 8.