Short-Term Technical Perspective Raises Nervousness

Hj Azhar RamliJanuary 3, 2022

0 16 2 minutes read

BNB/USD is trading within sight of important support, even though it managed to stage a slight reversal higher in the past day of trading.

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BNB/USD is near the 525.0000 ratio as of this writing. Yesterday’s late trading saw a reversal produced higher which took the cryptocurrency to approximately 533.0000, but it has faltered slightly after attaining the mark. BNB/USD has been within an incremental bearish trend since the 7^th of November when it was trading at a high of nearly 668.0000. However choppy conditions have been seen since the first week of November, and volatility remains a large part of the Binance coin.

The broad cryptocurrency market has been within a bearish stance and this is certainly not helping BNB/USD which has plenty of its value driven by demand when speculation is robust in the cryptocurrency market via the Binance exchange. Current support levels for BNB/USD remain within sight and the 505.0000 mark below remains eerily close. While short-term support for BNB/USD should be considered near the 518.0000 level, it may be the fact that the 500.0000 juncture remains in plain sight that could be causing nervousness among BNB/USD speculators.

If current support levels are tested short term, traders may have their targets on the 510.0000 mark below. However, Binance coin can prove to be an interestingly consolidated cryptocurrency to trade, and having ambitions that BNB/USD is suddenly going to move fast could prove to test the patience limits of traders who want quick results. Yes, volatility can certainly strike, but having realistic targets chosen when trading BNB/USD is important. The use of take profit and stop loss orders is a solid way to make sure trading targets are not missed.

BNB/USD may remain in a bearish stance, particularly if the broad cryptocurrency market remains nervous within the near term. The trend in BNB/USD has been lower and while reversals higher are certainly a common element of Binance coin’s ability, the momentum lower has been able to challenge and penetrate support levels.

If the 518.0000 mark falters and the 510.0000 ratio below is proven vulnerable, that could set speculative eyes on the 505.0000 to 500.0000 values. On the 4^th of December, BNB/USD traded briefly below the 500.0000 level, before that date the cryptocurrency last traded in a sustained manner below 500.0000 in October of 2021.