CandleFocus

BNB Under Siege: Failed Recovery Sparks Fears of Deeper Losses

Author: Content Editor
The cryptocurrency BNB is facing renewed selling pressure and vulnerability to further losses. Despite a brief recovery attempt, BNB has failed to break through key resistance levels, causing concerns about a potential deepening decline. Technical indicators are signaling potential weakness ahead, raising questions about whether BNB can regain its footing or if more losses are inevitable.

On the 4-hour chart, BNB has dipped below the 100-day Simple Moving Average (SMA) and is approaching the crucial $531 support level. This indicates weakening strength and the potential for more losses as sellers gain control. The 4-hour Relative Strength Index (RSI) also suggests weakening buying pressure, dropping below the 50% threshold toward 42% and moving deeper into bearish territory.

On the daily chart, BNB has faced resistance at $587 and shown significant downbeat movement. The price has fallen toward the 100-day SMA, indicating mounting selling pressure. The RSI on the 1-day chart has also dropped below the 50% threshold at 48%, suggesting weakening buying strength and heightened bearish control.

If BNB continues to decline, hitting and closing below the critical $531 level, further losses may occur, potentially driving the asset down toward the $500 level. However, if buyers regain control at the $531 level, there is a possibility for a bullish reversal with the price moving upward toward the $605 resistance level, especially if the RSI shows signs of recovery.

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