Binance Coin Mid-Week Analysis – Support Levels in Play – 26/08/20

It’s been a bearish start to the week. A move through to $22.70 levels would signal a breakout and a likely return to $24 levels, however.
Apple iPhone and Binance logo, with dollars and cryptocurrency.

Binance Coin Price Support

It’s been another mixed 1st half of the week for Binance Coin.

Binance Coin fell by 1.64% on Sunday before finding support. Binance Coin recovered from a Sunday low $21.38 to strike a Monday current week high $23.01.

Steering clear of the first major support level at $20.75, Binance Coin also came up short of the first major resistance level at $24.19.

Following a 3.54% rally on Monday, Binance Coin slid by 5.38% on Tuesday. The sell-off saw Binance Coin fall through the first major support level at $20.75 to a current week low $20.70.

A late recovery on Tuesday back through to $21 levels reduced the deficit for the current week, however.

For the current week, Sunday through Tuesday, Binance Coin was down by 3.73% to $21.41. Two days in the red delivered the losses in the early part of the week.

The near-term bearish trend remained intact, supported by the late 2019 reversal and mid-March’s swing lo $6.42.

It had been a particularly bullish start to the year before the reversal. Having been up by as much as 101% year-to-date, Binance Coin was up by 56.8% year-to-date.

For the bulls, Binance Coin would need to break through the 62% FIB of $27.3 to form a near-term bullish trend.

At the time of writing, Binance Coin was up by 2.55% to $21.95. A bullish start to the day on Wednesday saw Binance Coin rise from an early morning low $21.25 to a high $22.24.

Binance Coin continued to leave the major support and resistance levels untested early in the day, however.

For the remainder of the week

Binance Coin would need to move back through the $22.73 pivot level to support another run at the first major resistance level at $24.19.

Support from the broader market would be needed, however, for Binance Coin to break back through to $24 levels.

Barring an extended crypto rebound, the first major resistance level and last week’s high $24.7 would likely limit any upside.

In the event of another recovery, Binance Coin could test the second major resistance level at $26.17 before any pullback.

Failure to move through the $22.73 pivot level would bring the first major support level at $20.75 back into play.

Barring an extended crypto sell-off, however, Binance Coin should avoid sub-$20 levels and the 38.2% FIB of $19.4. The second major support level sits at $19.29.

Looking at the Technical Indicators

Major Support Level: $20.75

Major Resistance Level: $24.19

23.6% FIB Retracement Level: $14.4

38.2% FIB Retracement Level: $19.4

62% FIB Retracement Level: $27.3

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