Binance Cash Turns Red: Why BNB Sellers Remain iIn Control Below $536

The BNB/USD coin is trading with a selling bais at 521 level. A closing of candles below 536 level can extend downtrend until 486 support...

Written by: Arslan Butt • Tuesday, December 14, 2021 • 2 min read

• Last updated: Tuesday, December 14, 2021

The rising strength of the US dollar also had a negative impact on BNB/USD, as the two are negatively correlated
Bitcoin came under pressure after Elon Musk said that Bitcoin was not suitable for making payments, and that Dogecoin was a better payment method
Bitcoin turned the whole crypto market mood to the downside, and BNB followed suit on Monday

The BNB/USD ended the day at $520.90, with a high of $572.10, and a low of $512.10. BNB/USD dropped on Monday, amid an unfavorable development surrounding the Binance ecosystem. On Monday, Binance Exchange announced that it would remove its trading platform from Singapore by February 13. The exchange said it would withdraw its application for a Singapore exchange and focus on other markets.

BNB/USD

After this announcement, the exchange stopped accepting fresh deposits from existing users, saying that new users would not be affected; however, the existing users were allowed to trade until February 13, 2022. Following this news, BNB/USD started declining on Monday, and dropped for the day. Furthermore, the overall sentiment in the crypto market was negative on Monday, led by Bitcoin, which fell below its support level of $460,000. Bitcoin came under pressure after Elon Musk said that Bitcoin was not suitable for making payments, and that Dogecoin was a better payment method. These comments by Musk added to the negative impression of BTC/USD and dragged its prices to the downside. Being a leading cryptocurrency, Bitcoin steered the whole crypto market mood to the downside, and BNB followed suit on Monday.

Furthermore, the rising strength of the US dollar also had a negative impact on BNB/USD, as the two have a negative correlation. As a result, the greenback is moving higher on the board, ahead of the release of the US Federal Reserve meeting this week. The pivot point is at 535.03.

Binance Cash (BNB/USD) – Daily technical levels

Support Resistance
497.96 557.96
475.03 595.03
437.96 617.96
Pivot Point: 535.03

Binance Cash (BNB/USD) Breaks Below Symmetrical Triangle Pattern

The BNB/USD coin is trading at 521, with a selling bias. A closing of candles below the 536 level could extend the downtrend until the 486 support level. On the higher side, the violation of the 536 level could expose the BNB coin to the 560 level. A breakout at the 560 level would expose the coin to the 576 level. The RSI and Stoch RSI suggest a selling trend; therefore, we have opened a sell trade in Binance Cash.

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ABOUT THE AUTHOR See More

Arslan Butt

Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.