$BNB has decreased by 50% - End of continuation of the trend?
Key levels
Short term
Supports—> S1: 20 & S2: 17
Resistances—> R1: 23 & R2: 24.5
Medium term
Supports—> S3: 15 & S4: 11
Resistances—> R3: 30 & R4: 32
Potential scenario
BNB has been undertaking a very significant retracement process since June, as most of the cryptocurrency market. During this process, it has already decreased by 50%. It was, along with Litecoin, one of the coins that had the best performance during 2019 so far before the falls began.
Now the price is being exchanged at 20, which is a key support for BNB. This support has been a demand zone in the past, therefore the price has chances to bounce back up and probably initiate a new trend. However, it is still very soon to talk about a trend reversal.
In order to confirm a potential trend reversal, the price would need to break R1 with a lot of volume, make a pullback to R1, which then would become a support, and attach R2. Until then, taking long positions in this market can be risky.
TA comment
This market will offer profitable opportunities in a potential trend reversal, as discussed in the section Potential scenario or with pullbacks along the downward trend.
By selecting the indicator Aroon combined with the OBV you can to open long positions when the trend is gaining positive momentum and the volume is increasing. Hence, not opening positions when the bears are still in control.
Pattern
The price has recently been rejected by S1, that is, the demand is present in that zone and has pushed the price back up. It is possible to spot an engulfing bullish pattern on S1. It is a bullish reversal pattern represented by two candles. The second candle totally engulfs the first one and starts an upward movement.
By selecting this pattern in Cryptohopper, you can automate buy signals overtime that it is spotted by the system.
Short term
Supports—> S1: 20 & S2: 17
Resistances—> R1: 23 & R2: 24.5
Medium term
Supports—> S3: 15 & S4: 11
Resistances—> R3: 30 & R4: 32
Potential scenario
BNB has been undertaking a very significant retracement process since June, as most of the cryptocurrency market. During this process, it has already decreased by 50%. It was, along with Litecoin, one of the coins that had the best performance during 2019 so far before the falls began.
Now the price is being exchanged at 20, which is a key support for BNB. This support has been a demand zone in the past, therefore the price has chances to bounce back up and probably initiate a new trend. However, it is still very soon to talk about a trend reversal.
In order to confirm a potential trend reversal, the price would need to break R1 with a lot of volume, make a pullback to R1, which then would become a support, and attach R2. Until then, taking long positions in this market can be risky.
TA comment
This market will offer profitable opportunities in a potential trend reversal, as discussed in the section Potential scenario or with pullbacks along the downward trend.
By selecting the indicator Aroon combined with the OBV you can to open long positions when the trend is gaining positive momentum and the volume is increasing. Hence, not opening positions when the bears are still in control.
Pattern
The price has recently been rejected by S1, that is, the demand is present in that zone and has pushed the price back up. It is possible to spot an engulfing bullish pattern on S1. It is a bullish reversal pattern represented by two candles. The second candle totally engulfs the first one and starts an upward movement.
By selecting this pattern in Cryptohopper, you can automate buy signals overtime that it is spotted by the system.