Binance Coin (BNB) plummeted below $600 in the recent market crash, shattering a crucial support line. However, it quickly bounced back from $550, showing a 4.10% recovery within 48 hours. Currently standing at $532, BNB is facing bearish pressure, but there are indications of a potential turnaround due to underlying demand and a double-bottom pattern.
The recent market crash dealt a blow to the price of Binance Coin (BNB), causing it to lose ground above the important $600 level and break below a critical support trendline. As a result, the dynamics in the Binance price chart have shifted to the bearish side, raising concerns about a possible correction. However, these changing dynamics are being challenged by a short-term reversal and underlying demand, both of which are seeking a recovery.
Binance Coin Sets Its Sights on $600 Breakout
Despite its recent downfall, during which the BNB price tested the 200-day Exponential Moving Average (EMA) with a looming death cross, the token has quickly reversed from the psychological mark of $550, overcoming the pressure from sellers. This reversal rally hints at a potential comeback in the near future.
Currently, the Binance token price is trading at $532, experiencing an intraday drop of 5.6%, signaling a bearish outlook for the altcoin. Despite buyers being unable to fully drive the ascending trendline to completion, the BNB token price is showing signs of a resurgence fueled by underlying demand and the double-bottom reversal pattern. Moreover, the overall market recovery is contributing to the altcoin’s momentum for recovery.
If the BNB price manages to break above the $635 level, it could potentially reach the $763 mark, as indicated by the trend-based Fibonacci level. However, investors should exercise caution as a market correction could lead to a plunge in the altcoin’s price, potentially pushing it down to the $500 level.
