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Binance Coin Standstill at $574, Brace for a Breakout Trade

Posted Thursday, November 18, 2021 by
Arslan Butt • 2 min read

The BNB/USD closed at $578.30, after hitting a high of $592.50, and a low of $554.60. The BNB/USD pair dropped for the third consecutive session on Wednesday, amid the prevailing negative mood in the cryptocurrency market.

BNB/USD followed the other cryptocurrencies, and started this week in negative mode, on the back of the recent renewed crackdown on cryptocurrencies by the Chinese government and the approval of the US infrastructure bill.

BNB/USD

The regulations imposed on cryptocurrency transactions and the increased punitive measures on cryptocurrency miners in China added to the negative market mood surrounding the cryptocurrency market. Bitcoin and Ethereum took a hard hit amid these negative developments, and other coins, including BNB, also followed their footsteps.Meanwhile, Binance CEO, Changpeng Zhao, has recently revealed that he has been a Bitcoin holder since 2014, and he only owns BTC and BNB. He added that a significant percentage of his net worth was made up of his Binance Coin (BNB) holdings, while he also has some BTC, which he purchased back in 2014. He also admitted that he had spent a portion of his BTC holdings over the years. However, he is still holding onto some of his purchases.

Surprisingly, despite being the CEO of the biggest cryptocurrency exchange and interacting with different crypto projects, tokens and coins, he admitted that his investment portfolio was not very diversified, as he did not hold any other altcoins, apart from BTC and BNB.

Recently, BNB has been under pressure, as the cryptocurrency exchange has received a lot of warnings and sanctions from various financial regulators across the globe. Changpeng Zhao has stated that the exchange is looking to make the necessary changes to bring it back on track with regulators and get licensed everywhere. These issues have also been dragging the BNB/USD prices to the downside lately.

Binance Cash (BNB/USD) Technical Outlook

The BNB/USD is trading sideways, tossing about in a narrow trading range of 596 to 562. Violation of the 562 level could extend the selling trend until the next support level of 512.

A bullish breakout at 596 could expose Binance cash to levels of 620 and 662. On the 4-hour timeframe, it has formed an ascending triangle pattern that supports the indecision among investors.

The RSI and Stochastic remain in the sell zone; therefore, we should consider selling upon a breakout at the 562 level. Good luck!

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