BNB Trading Sideways In Last 30 Days – Is Stagnation Likely Until October?

Christian Encila

1 year ago

3 mins read

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Binance Coin (BNB) finds itself in a state of limbo as it extends its sideways pattern on the lower timeframes. BNB has been treading water for nearly a month, caught in a tight range between the support at $205 and a stubborn resistance zone spanning $220 to $225.

While on-chain metrics hint at the potential for a short-term price surge, BNB bulls are grappling with the challenge of breaking free from this extended sideways pattern.

As of the latest data from CoinGecko, BNB is currently priced at $216.74, with a modest 0.1% gain in the last 24 hours and a seven-day rally of 2.8%. Investors and traders are eagerly awaiting a decisive move in either direction, but the market seems hesitant to make a commitment.

BNB Bulls And Bears At Loggerheads

Bulls and bears have been entrenched in a battle, with $205 serving as a crucial support and the $220-$225 range as the formidable resistance. This scenario has paved the way for a prolonged period of range-bound price action in the short term, leaving traders on the edge of their seats.

Price analysis shows that the On Balance Volume (OBV) indicator’s relatively muted movement presents two possible scenarios for the days ahead. The first scenario entails bulls launching a concerted effort to catch short sellers off guard by breaking above the $220 barrier and potentially surging toward the $240 mark. Such a move would inject renewed optimism into the BNB market.

BNB market cap currently at $33 billion. Chart: TradingView.com

On the flip side, a bearish rejection could usher in a third test of the $205 support level, with the ominous prospect of a breakdown toward the $188 support level, as seen on the weekly timeframe. This scenario could see the bears exerting their influence and pushing BNB lower.

Long-Term Prospects Hang In The Balance

Zooming out to the larger timeframes, the situation remains tense, with BNB trading far from key levels. To regain control, another analysis points out that buyers must strive to push the price above the nearest resistance at $221.7. Only then can hopes for a potential bull run begin to materialize.

BNB seven-day price action. Source: Coingecko

While on-chain metrics hint at potential upward momentum, the resilience of the resistance zone is a formidable challenge.

Traders and investors will be keeping a keen eye on the evolving OBV dynamics, as they hold the key to whether BNB breaks free from its current sideways drift or succumbs to further downward pressure as October approaches.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from VectorStock

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.