Breaking the symmetrical triangle in early June to drop from $300 to $231, the BNB price action entered a consolidation range between $230-260. However, the recent FUD tsunami in the crypto market crashes Binance further.
Facing multiple rejections from the 50-day EMA and a resistance trendline, the BNB coin price continues to break the $230 support level. With the psychological mark of $200, bringing in more buyers is evident by the potential morning star forming in the 1Day chart.
Under the influence of the strong resistance trendline, Binance is down by 38% in the last 4 months. However, the BNB price manages a 2.28% intraday jump teasing a morning star pattern.
Forming a key reversal pattern like morning star at crucial psychological support of $200 displays high chances of a sharp reversal. However, the BNB price must overcome the selling pressure at the resistance trendline to enter a credible recovery phase.
Coming to the technical indicators, the stochastic RSI and daily RSI line are preparing a bounce back from the oversold zone. However, the declining bearish 50-day EMA moves along the resistance trendline to amplify the hawkish sentiments.
If buyers can hold off the sellers, $200 will be a great place to buy BNB. If things go really well, BNB could even reach $230 before running into more resistance.
Conversely, a downfall that closes below the $200 mark will result in an intense correction phase for Binance Coin. In such a case, the fallout rally could extend to $185.
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