Binance Coin Price Prediction – BNB/USD Finding Support at MAs

The sentiment in the crypto market remains bearish, pushing all cryptocurrencies down. After the attempt to resume the bullish Binance Coin (BNB) trend after the crash in May-June-July, it has turned down again and it has been bearish for most of September. Both the hard crackdown in China and East Asia, and the soft crackdown in other parts of the world, have hurt the sentiment in this market.

Binance Analysis – The 20 Monthly SMA Still Supporting BNB/USD

The Binance coin has always had the support of the Binance exchange behind it, which was one of the main drivers as this exchange grew. Speaking of the crypto crackdown, the Binance coin (BNB) has been one of the main driving forces behind BNB, but apart from the sentiment in the crypto market turning bearish, the fact that BNB belongs to the Binance exchange is now also weighing on BNB.

BNB/USD

Binance coin has been suffering while some other coins, such as Ethereum (ETH) and Cardano (ADA) have been showing great signs of strength, and some other cryptos like Axie Infinity (AXS), Fantom (FTM), Solana  (SOL), etc. surged until the middle of September. Binance coin also made some decent gains in August, but in the last three weeks, it has tumbled even lower than many other cryptos.

Binance is a Chinese company, and the biggest cryptocurrency exchange in terms of the volume of cryptos being exchanged through it. Malaysia and Singapore have ordered the Binance exchange to cease its operations in their countries and China is banning everything crypto now, apart from the digital Yuan, which is on the way. Meanwhile, the UK has also banned Binance, while other countries, including Thailand, Italy and Hong Kong, have issued warnings against Binance, which has forced it to lower the number of customers from these countries.

BNB/USD Weekly Chart – The 20 SMA Holds as Support for Now

Let’s see how long the 20 SMA holds as support on the weekly chart

On the daily chart, the smaller moving averages, particularly the 20 SMA (yellow) and the 50 SMA (yellow) were acting as support during the bullish trend of earlier last year. Then came the crypto surge in the first five months, and Binance coin left all moving averages behind. The 20 SMA only caught up after the bearish reversal and the crash that followed.

The price made a pin candlestick above the 20 SMA, which is a bullish reversing signal after the decline. But after a small bounce, the price turned back, and this moving average was then broken and turned into resistance. But after the pin, which is another bullish reversing signal, the price turned bullish and pushed above the 20 SMA, with BNB/USD appreciating by around 250%.

But the ban on cryptos has intensified in China and elsewhere, and the sentiment has deteriorated in the market, so Binance is back down, as we explained in more detail in our 2021 Binance forecast, but the 20 SMA has been holding as support in the last two weeks . This week’s candlestick looks like a pin, which is a bullish signal, so we might see another bullish reversal now, like the one in August. The stochastic indicator is nearly oversold, which supports the reversing idea, but let’s see how the sentiment in the crypto market develops. If it turns around, we might open a buy trade/signal in BNB/USD.

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