BNB Witnessing Balance of Power as Price Gains Flattens
The price change of Binance Coin (BNB) is trailing the slip as observable in the broader digital currency ecosystem. Binance Coin is currently exchanging hands at $487.83, down 0.37% in the past 24 hours after paring off the gains accrued in the past days. The digital currency has largely resisted a massive dump from the latest regulatory strain being placed on its issuing company, the Binance exchange.
Several governments around the world has declared Binance unfit to operate within their shores. Amongst these include Canada, Italy, Japan and Hong Kong amongst others. The United Kingdom’s Financial Conduct Authority (FCA) who earlier banned the operations of Binance Markets Limited in the UK, recently came out to declare that the exchange has fulfilled all requirements it requested from it. Despite this, the exchange has not still been cleared to operate in the UK, however, the clearance impacted the price of the BNB.
These challenges have been largely ignored by BNB investors and holders and contrary to expectations of price slump, BNB has maintained a steady growth in the past month, inching a 30 day high of $511.98 in an ambitious bid to retest its previous All-Time High (ATH) at $690.93.
BNB Price Analysis
The BNB/USD 4h chart on TradingView showcases the flattening trend of the digital currency as it met with a stiff rejection at the $500 resistance point. The three technical indicators including the 9-Day Moving Average, the MACD, and Relative Strength Index (RSI) are trending horizontal, a show of the balance of power between the bulls and the bears.
The ranging trend in the BNB/USD pair can end either in the favor of buyers or sellers, depending on how the overall market responds to price gains this weekend, which are known for historic sell offs.
Should the sellers exert more pressure, we may see further price reverals that may drag prices below the $450 support level, a price point last observed on August 23. If more buyers enter the market, a positive momentum may be generated which will likely stir a surge to retest the resistance at $500 yet again.
The crucial levels to watch out for includes the $450 support and the $500 resistance points respectively. While BNB price may hover in between these two points in the short to mid term, a push beyond either level will usher in a whole new reaction which may either be driven by greed or fear. The strength of the Binance exchange and its response to the global regulatory clampdown will have a decisive impact on whether the price movement will favor the bears or bulls in the coming days.Source