All the ways BNB will show up with this level of resistance

Disclaimer: The information provided does not constitute financial, investment, trading or other types of advice and is the opinion of the author only.

  • Downtrend higher time frame
  • BNB enters a severe resistance zone

Binance Coin is the fourth largest cryptocurrency by market capitalization. The exchange symbol has seen sideways movement on the price charts for about a month now as it formed a range between $260 and $300. At press time, the price was once again approaching the $300 psychological resistance.

This is the AMBCrypto price prediction for Binance coin [BNB] For 2022-23

However, despite the bullish momentum of the past few days, Binance Coin could see a strong rejection, especially if Bitcoin is also struggling to climb above $20.5K.

Binance Coin enters the seller area

Source: TradingView

The three-day chart (not shown here) has a bearish market structure. The daily structure was also bearish for BNB, although its move above $280 provided a bullish impulse on the lower time frame. Overall, the confluence of the descending order block (highlighted in red) and the psychological resistance level at $300 means that BNB could face rejection and move lower on the price charts.

Binance Coin found steady demand at the $261 level and also encountered strong sellers near the $300 mark. Since September, these two areas have been very important. At the time of writing, the RSI has crossed the 60 level to show strong bullish momentum.

However, OBV did not share a similar peak. This is because the volume of purchase was low. In fact, the OBV has been in a downtrend since August to indicate a lack of demand.

Overall, the OBV and the resistance zone suggest that BNB may recover all of its gains since mid-September.

Low social dominance, but will it change in October?

Binance Coin in Resistance Zone, Here's What Could Develop

Source: feeling

In mid-August, the Binance Coin social dominance metric reached a six-month high of 17.1%. Since then, the dominance meter has recorded lower highs to indicate a decrease in the number of signals the currency has seen. This could take a turn as a sharp northward rally was recorded two days ago.

Funding rate has been slightly negative since mid-September. Last week saw an almost unchanged funding rate as the futures market turned from bearish to neutral. When it comes to a short-term view, bulls have the majority. Coinglass data revealed that the past 24 hours had a slight bias towards long rather than short positions.

A rejection near the $300 mark could drop BNB to $260 and possibly $240. $277 can also be used as temporary support. This bearish view will be invalidated if the daily session closes above $305 for Binance coins.

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