A rather ambiguous situation happened in the BNB market during the massive collapse of the crypto market. One of the most famous projects, according to many investors, which should always grow, turned out to be rather weak. Thus, the BNB price fell by 70%, which is an average figure in the market. However, the main thing we did not like during this drain was the interest of buyers to keep this coin. If we look at the daily timeframe, we see that sellers managed to update the local low twice during a panic fall:
BNB buyers were in no hurry to aggressively buy back the coin
BNB price fixed for some time under the green range of $340-360. It showed that not everything is so good with large buyers in the market. Therefore, we would confidently buy BNB only after the retest of $340-360, making sure that the main sellers’ aggression is over. Even if we compare the active rebound of MATIC, which also updated its low twice during a powerful fall wave, its price is now almost at historical highs:
Though, as we see on the chart, in addition to the aggressive rebound, buyers still managed to keep the range of the previous historical high of $0.86-0.95.
The main local target is a test of the range of $434-452
If we look at the 4 hour timeframe, we see that buyers are locally fixing above the critical range of $340-360:
Therefore, buyers will open the way for the BNBUSDT price to $434-452 if they confidently keep this price range. We expect a new fall wave from this range. Thus, by that time we plan to fix all our long positions. Depending on how powerful the new fall wave will be we will understand the medium-term scenario in the BNB market.
Loss of $340-360 will pave the way to $186
In case of positive scenario, buyers should keep the range of $340-360. Then we will expect continued growth to $600. Fixing the BNB price below $340 will significantly increase the risks of updating the local low and test of $186. The fact that such a scenario is quite possible can be seen on the BNBBTC chart:
During a time of high volatility in the cryptocurrency market, one should carefully monitor critical points. As a price movement of 30-50% during the day is a reality.
