On September 17, the BNB price reached a low of 19,652 satoshis. A rapid upward move followed, and BNB reached a high of 22,880 satoshis the next day. It has been decreasing since.
How long will BNB continue to decrease? Keep reading below in order to find the answer.
For our previous analysis, click here.
Binance Coin Price: Trends and Highlights for September 20
- BNB/BTC is trading inside a descending channel.
- The current upward move was preceded by a bullish divergence.
- The price is trading between the 10- and 20-day moving averages.
- There is support at 20,600 satoshis.
- There is resistance at 22,300 satoshis.
A look at the daily chart shows that BNB has been trading inside a descending channel since June 26.
The period discussed in the introduction is highlighted.
Once the price touched the support line on September 15, it began an upward move towards resistance.
The move is currently ongoing and BNB has not yet reached the resistance line.
When incorporating the RSI & MACD we can see that the upward move was preceded by a bullish divergence.
The divergence was present in both the RSI and the MACD, increasing its significance.
Furthermore, we can see that as a result of the upward move, the price has moved above its 10-day MA.
Since the MAs have not yet made a bullish cross, this occurrence in itself does not hold great importance.
However, it is worth mentioning that BNB has struggled to move above its 10-day MA throughout August.
Every time it reached it, it initiated downward moves of varying degrees.
Therefore, while this movement does not confirm the uptrend, it is the first step in doing so.
Going back to the hourly time-frame, we can see one support area, found at 20,600 satoshis.
This area also coincides with the 0.618 fib level of the entire upward move, strengthening its significance.
Furthermore, we can see that BNB has found support above its 200-hour moving average.
This makes us believe that the retracement of the move beginning on September 16 is nearing its end and BNB will soon resume its upward movement.
An outline of future price movement is given below.
Additionally, one resistance area near 22,300 satoshis is outlined below.
The price is likely to increase towards it, after possibly decreasing to the support area one more time.
Afterward, it is likely to resume its movement towards the resistance line of the channel.
Binance Coin Price Summary
The BNB price is trading inside a descending channel.
According to our analysis, it is likely to move towards the resistance line of the channel.
For hypothetical trading purposes, we consider BNB a buy near 20,600 satoshis.
Do you think BNB will reach the resistance line of the channel? Let us know in the comments below.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
Images are courtesy of Shutterstock, Trading
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