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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

BNB Price Drops After BUSD Crackdown, Upsides Turn Attractive to Bears

Aayush Jindal
Aayush Jindal
1 year ago
2 mins read
Bitcoin Crypto Market Altcoins BCH ETH XRP BNB ADA TRX EOS

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BNB price (Binance coin) started a strong decline against the US Dollar after BUSD’s crackdown. BNB traded below $300 and is now showing bearish signs.

  • Binance coin price started a fresh decline below the $300 support against the US Dollar.
  • The price is now trading below $320 and the 100 simple moving average (4-hours).
  • There is a key bearish trend line forming with resistance near $305 on the 4-hours chart of the BNB/USD pair (data source from Binance).
  • The pair could correct higher, but upsides might be limited above the $305 and $310 levels.

Binance Coin Price Drops Over 10%

This week, BNB price saw a strong bearish reaction from the $320 resistance zone. The New York Department of Financial Services ordered Paxos Trust Co. to stop creating more of its BUSD token.

It sparked a bearish wave in BNB and the price declined below the $300 support zone (also sparking bearish moves in bitcoin and ethereum). The price even spiked below the $285 support zone. A low is formed near $283 and the price is now consolidating losses. It is trading below $320 and the 100 simple moving average (4-hours).

On the upside, an immediate resistance is near the $292 zone. It is near the 23.6% Fib retracement level of the downward move from the $321 swing high to $283 low.

The next major resistance is near the $300 level. There is also a key bearish trend line forming with resistance near $305 on the 4-hours chart of the BNB/USD pair. The trend line is near the 50% Fib retracement level of the downward move from the $321 swing high to $283 low.

Binance Coin Price

Source: BNBUSD on TradingView.com

A clear move above the trend line might send the price towards the $320 resistance. Any more gains might send the price towards the $335 level.

More Losses in BNB?

If BNB fails to clear the $300 resistance, it could continue to move down. An initial support on the downside is near the $285 level.

The first major support is near the $282 level. The next major support is near the $275 level. If there is a downside break below the $275 support, there could be an extended decline towards the $250 support.

Technical Indicators

4-Hours MACD – The MACD for BNB/USD is losing 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 – $285, $282 and $265.

Major Resistance Levels – $300, $305 and $320.

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Aayush Jindal
Aayush Jindal

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

Read more

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
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