Binance Coin Mid-Week Analysis – Resistance Levels in Play – 05/02/20

Resistance at $19 continued to pin Binance Coin back in the early part of the week. A break back through the 23.6% FIB will $20 into play
Apple iPhone and Binance logo, with dollars and cryptocurrency.

Binance Coin Price Resistance

It’s been a mixed 1st half of the week for Binance Coin, which saw 2 in the green out of 3.

Rallying from an early Sunday current week low $17.67, Binance Coin struck a Monday current week high $19.14 before hitting reverse.

Steering clear of the major support levels, Binance Coin also fell short of the first major resistance level at $19.27.

Of greater significance, however, was a breakthrough the 23.6% FIB of $18.8 before a 1.83% fall on Tuesday.

The pullback saw Binance Coin fall back through the 23.6% FIB to $17 levels before recovering to $18 levels to limit the downside for the current week.

For the current week, Binance Coin was down by 0.77%, Sunday through to Tuesday.

A 1.01% rally on Sunday provided much-needed support in the early part of the week.

The near-term bearish trend remained intact, however, supported by the late 2019 reversal and December’s swing lo $12.11.

The extended sell-off had seen Binance Coin fall for 5 consecutive weeks before finding support in late December. The reversal had included a 19.3% slide in the final week of November.

At the turn of the year, Binance Coin has enjoyed 5 weeks in the green out of 6, which included a 19.4% rally in the week ending 18th January.

For the bulls, Binance Coin would need to break through the 62% FIB of $30 to form a near-term bullish trend.

At the time of writing, Binance Coin was up by 2.41% to $18.54. A bullish start to the day on Wednesday saw Binance Coin rally from an early morning low $17.76 to the current week high $19.14.

The early rally saw Binance Coin break through the 23.8% FIB of $18.8 before easing back.

Binance Coin continued to leave the major support and resistance levels untested in the early hours of Wednesday.

For the remainder of the week

Binance Coin would need to move back through the 23.6% FIB to $19 levels to support another run at first major resistance level at $19.27.

Support from the broader market would be needed, however, for Binance Coin to break out from the current week high $19.14.

Barring an extended rally going into the weekend, the first major resistance level at $19.27 would likely cap any upside.

In the event of an extended rally, the second major resistance level at $20.30 would come into play.

Failure to move back through to $19 levels could see Binance Coin fall deeper into the red.

A pullback through to sub-$18 levels would bring the first major support level at $16.98 into play.

Barring a crypto meltdown, however, Binance Coin should steer clear of sub-$16 levels.

Looking at the Technical Indicators

Major Support Level: $16.98

Major Resistance Level: $19.27

23.6% FIB Retracement Level: $18.8

38.2% FIB Retracement Level: $22.9

62% FIB Retracement Level: $29.5

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