🔥🔥🔥 #binancecoin $BNB ) Falls Below Critical Support Level
As of the latest update, BNB is currently trading at $592.71, reflecting an 18% decline in value since June 6.
- Binance Coin Faces #BEARISH📉 Signals
Since reaching its year-to-date peak on June 6, BNB has undergone a downward trajectory, forming a descending triangle pattern.
A descending triangle typically signals bearish sentiment, characterized by lower highs and a horizontal support level. For BNB, this support rests at $593.90, a level it presently trades below. In such patterns, a failure by bulls to defend this support often precedes a bearish breakout, indicating a continuation of the downtrend as sellers outnumber buyers.
BNB's price is currently below its 20-day exponential moving average (EMA), signaling reduced buying pressure. This suggests increased coin distribution and a decline in buying interest, contributing to a bearish sentiment.
- BNB Price Prediction: Long Traders Maintain Optimism
Despite the recent price decline, BNB's futures open interest has seen a notable drop from its year-to-date peak of $1.12 billion on June 8 to $674 million as of now, marking a 33% decrease.
Futures open interest measures the total number of outstanding futures contracts yet to be closed or settled. A decline in open interest typically indicates more traders exiting the market without initiating new positions.
Despite these developments, BNB's funding rate across cryptocurrency exchanges remains predominantly positive at 0.0021%. Funding rates are mechanisms used in perpetual futures contracts to keep contract prices close to spot prices.
A positive funding rate indicates more traders holding long positions, signaling confidence in BNB's potential price increase. If selling pressures ease, BNB could potentially rebound above $600, aiming for around $615.10.
Conversely, sustained bearish sentiments might drive BNB's price further down towards the $555.90 mark.
Source - beincrypto.com
