It’s been a particularly bearish start to the week for Binance Coin, which saw 3 consecutive days in the red, rounded off by a double-digit slide on Tuesday.
A 2.82% fall on Sunday was the most modest of the daily losses going into Wednesday. Binance Coin slid by 5.35% on Monday before tumbling by 17.58% on Tuesday.
A Sunday current week high $21.00 came up well short of the week’s first major resistance level at $22.89 before hitting reverse.
The reversal saw Binance Coin slide to a Tuesday current week low and new swing low $14.69. Binance Coin slid through the first major support level at $19.43 and second major support level at $17.89 before tumbling through the third major support level at $16.90.
Of greater significance, however, was a slide through the 62% FIB of 17.3.
A 6th consecutive day in the red and slide through the 62% FIB led to a near-term bearish trend, formed at June’s swing hi $40.27.
The sell-off left Binance Coin down by 24.12% for the current week and by 24.51% for the current month. September’s losses come off the back of a 24.24% slide in August.
In spite of the near-term bearish trend formation, Binance Coin is up by 151.09% year-to-date.
For the bulls, a move back through to $30 levels will now be key to resume the extended bullish trend.
At the time of writing, Binance Coin was up by 3.81% to $16.50. A bullish start to the day saw Binance Coin rise from a morning low $15.8 to a high $16.58.
In spite of the early moves, Binance Coin failed to break back through the second major support level at $17.89.
[fx-image src=https://www.tradingview.com/x/7bvd0VCX/ originalWidth=761 ratio=1.3 data-zoom-target=https://www.tradingview.com/x/7bvd0VCX/][fx-article-ad]
Binance Coin would need to break through the second major support level at $17.89 to support a partial recovery of the current week losses.
Support from the broader market would be needed, however, for Binance Coin to break out from $18 levels.
Barring a broad-based crypto rebound, resistance at $18 would likely cap any upside through the remainder of the week.
In the event of a crypto rebound, Binance Coin could take a run at the first major support level at $19.43 before any pullback.
Failure to break through the second major support level at $17.89 would leave Binance Coin deep in the red.
A fall back through to $15 levels would bring Tuesday’s low $14.69 and the first major support level at $14.43 into play.
Barring an extended sell-off through the remainder of the week, Binance Coin should steer clear of sub-$14 levels.
Major Support Level: $19.43
Major Resistance Level: $22.89
23.6% FIB Retracement Level: $21
38.2% FIB Retracement Level: $25
62% FIB Retracement Level: $31