The cryptocurrency market appears to have found some relief after the September 7 sell-off, although the sales have continued to push prices down this last remnant of the week. Not even Binance Coin has managed to escape this broader trend. The altcoin started today’s session recovering slightly due to the bullish break of an “ascending triangle” technical pattern, but prices were immediately pushed back to the resistance barrier at $ 437-440. At the time of writing, BNB is trading at $ 414.6, a marginal drop of 0.9% measured in the past 24 hours.
Conditions not suitable for new rapid lunges
BNB’s losses have so far been limited by the support level at $ 390, although prices have managed to temporarily break below that defensive line during the development of some hourly bars. So long as volatility now appears to have started to stabilize, a period of consolidation between $ 437 and $ 410 can be expected. Incidentally, the lower range of this channel coincides with the lower band of the Bollinger Bands on the hourly chart. When prices move to the lower band, they usually tend to trigger buy reactions. However, we must state that, in the event of a breakdown of even the $ 410 level, attention would immediately shift to the immediately lower support lines placed at $ 390 and $ 372.
Consolidation is on the way for oscillators
Looking at the behavior of the oscillators on the hourly chart, we see that the RSI is stabilizing in the 40/45 zone, so technically there would still be room for a further push towards the oversold zone before the possibility of an upward reversal. At the same time, the Squeeze Momentum indicator moved towards its median line, showing a lack of momentum from operators both upwards and downwards, a factor of probable stabilization in the short term also confirmed by the MACD. In the opinion of economist Saif Naqvi, the most probable scenario in the short term is precisely that of “stabilization in the range between $ 410 – 437. The current low volatility can be expected to stem further accelerating sinks, but in the meantime it will still be necessary to wait for a generalized return of the buying pressure on crypto to obtain positive repercussions also on Binance Coin “. In practice, from a technical point of view it would still be preferable to avoid exposing oneself to a stabilizing market such as BNB is now, as the symptoms of strong uncertainty on the part of operators are evident in the stabilizations.