Chart by TradingView
Yesterday’s announcement that the SEC has sued Binance turned the whole market red, and BNB was quick to crash.
Key Support levels: $265
Key Resistance levels: $291
Volatility spiked as soon as the news that the SEC has filed a lawsuit against Binance broke out. The price of BNB fell by 10% within two hours. The rest of the market also followed suit, and most charts turned bearish.
The current support for BNB is found at $265 and is likely to be tested if sentiment remains bearish. The resistance is at $291.
Trading Volume: The volume spiked as sellers rushed to the exit. In the process, BNB fell under $300.
RSI: The daily RSI reached the oversold area at under 30 points. This shows an extreme level of fear in the market.
MACD: The daily MACD turned bearish as soon as the news broke out. At this time, bears have full control of the price action.
The bias for BNB is bearish.
The market is still digesting the news, and more volatility can be expected. For this reason, a test of the key support at $265 appears likely before buyers return. Binance has promised to fight the SEC, so this story is likely to continue developing for some time.
