BNB’s price has failed to retest the $600 mark after failing to rise above it on Thursday, March 6. Despite recent attempts to push it higher, bullish momentum appears to be weak.
As a result, BNB risks facing another downturn. If this continues, the coin could test lower support levels.
While a rebound is possible, this analysis shows that bulls struggle to defend key support levels. Here are the likely targets.
BNB Battles to Hold $560
According to the daily chart, on March 6, BNB’s price faced resistance of nearly $598.70. The inability to breach this obstacle forced a correction, driving the price down to $531.50.
While the price is below $560, BNB does not yet have a clear path to higher highs. An indicator that proves this is the Exponential Moving Average (EMA), which measures trend direction.
Typically, the trend is bullish when the EMA is below the price. However, BNB’s price is below the 20 EMA (blue) in this case, indicating a bearish trend.
Historically, BNB’s price rarely increased when it struggled to breach the 20 EMA. Therefore, if this current trend follows the historical pattern, BNB’s price might decline below the $531.50 support.
BBP Confirms Bearish Trend
Furthermore, the Bull-Bear Power (BBP) position appears to agree with this position. The BBP is an oscillator that considers the swing highs and lows to measure the strength of bulls (buyers) and bears (sellers).
When the BBP is negative, bears are dominant. On the other hand, if the BBP is positive, bulls have the upper hand, and prices can increase.
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On the daily chart, the BBP is down to -51.50, indicating that bears are in control. If this remains the same, then BNB’s price might fail to continue to recover.
BNB Price at Crossroads
The daily BNB/USD chart shows that the Awesome Oscillator (AO) is negative in terms of its short-term outlook. When it flashes green bars, the AO indicates bullish momentum.
However, since it has displayed a red histogram bar, the momentum around it is bearish. If this trend continues, BNB’s price might struggle to register more green daily candlesticks.
Should this remain the same, BNB could decline to $508.30. On the flip side, if BNB rises above the 0.236 Fibonacci level at $575.80, the uptrend might continue.
In that scenario, the altcoin’s value might climb to $617.50. In a highly bullish market condition, this could be higher, and BNB could rally to $685.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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