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- BNB faced resistance at $300, a one-week bearish order block.
- A retracement towards $260 was possible, but it is unclear whether the decline would be that large.
Binance Coin (BNB) passed a significant resistance area on December 26th. It rose 14.85% from $266 to $303.2 in one day. At press time, BNB price had fallen below the $300 level.
AMBCrypto reported that Binance Smart Chain (BSC) experienced a lug pull on the same day. The target token was OmniCat (OMNI), but the ramifications could extend beyond the scope of the project.
BNB maintains strong bullish outlook
Source: BNB/USDT on TradingView
Despite the lug pull news, BNB has seen strong optimism from market participants. On the 1-day chart, the market structure is firmly bullish. Moreover, the $266-$276 resistance zone was also broken.
This area has significance marked as HTF resistance from August 2022 onwards. The rejection at $305 on December 16 also occurred in a significant resistance zone. The $300 level is also a psychological round number resistance.
The $300-$315 zone has been a solid resistance zone for a week. Above that, $350-$355 is a very strong supply zone. The $320-$350 region has also been hotly contested in the past.
At press time, RSI was 73.4, reflecting solid upward momentum. OBV trended upward in December to highlight strong buying pressure.
Despite this evidence, a brief retreat is possible. In that case, the $280 range and the $260-$272 region are expected to serve as support.
Source: Hiblock
AMBCrypto’s technical analysis of Hyblock’s liquidation heatmap revealed levels that traders can keep a close eye on. The $260 zone is particularly important in the liquidation heatmap.
There is also significant liquidation level to the north of the $298.8-$308 zone.
Read Binance Coin (BNB) Price Prediction for 2023-24
In addition to $260, the $270 level and the $277-$282 region could also serve as demand zones if the BNB price declines.
This is where a rebound is expected, but it looks like Bitcoin (BTC) will need to hold above $42,000 support for BNB to continue rising.
Disclaimer: The information presented does not constitute financial, investment, trading, or any other type of advice and is solely the opinion of the author.