Analysis
Binance Coin to retest 2+ year-old support; drop below could result in catastrophic fall in prices
Posted:
Binance Coin is very close to testing a support that has been valid for over 700 days now, and falling below this could highlight a drastic drop in BNB’s price for the near future.
The Support
Source: TradingView
The support was a major factor during the bull run of 2017. Back in 2019, the support helped BNB reconquer old highs long before Bitcoin started to. So, BNB retesting this support for the 3rd time would mark an important milestone in its journey.
Judging by the current state of the market, especially when Bitcoin’s price has collapsed by 20% and the dominance has come down to 67%, it is a time for altcoins to shine and perform slightly better than they were up to now. The same holds true for BNB as well. However, one important factor that might hinder BNB’s growth could be the death cross that loomed over BNB on 18 September.
These two factors, the support and the death cross, will play an important role in BNB’s performance in the next few days. By the looks of it, BNB looks bearish, except for a few minute pumps trying to convert old resistances into supports. The immediate outlook for BNB looks bullish, disregarding the overall bearish pressure.
