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Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- Binance Coin traded within a short-term range.
- Demand in spot markets was an encouraging sign for BNB bulls.
Binance coin [BNB] prices witnessed a rejection from the $220 zone on September 18. This allowed the bears to take control of the week’s price action. In other news, the dispute between the SEC and Binance continued.
Read Binance Coin’s [BNB] Price forecast 2023-24
Binance submitted a motion to dismiss the SEC’s lawsuit and claim that they did not have the jurisdiction to take legal action. BNB did not react positively to these developments and the bulls were unable to defend the $213 support zone.
Binance Coin could fall further towards a bullish order block
Source: BNB/USDT on TradingView
The 4-hour chart showed that BNB’s market structure was bearish. It traded within a range of $204 to $221, with a mid-level of $212.7. This level has been retested as resistance in recent days.
The range lows also coincided with a bullish order block that forced a market structure shift from the bears 10 days ago. Therefore, the $204 zone was expected to provide solid support, and demand would likely force a rally in the BNB upon a retest.
The RSI did not support these conclusions as there was still bearish momentum. Meanwhile, the OBV has been on a downward trend since September 19, which was a sign that buying pressure has been weak in recent days.
Market sentiment remained positive
Source: Coinalyse
Since September 22, the price has been fluctuating around the $210 level. Yet open interest continued to rise and the financing rate was positive. This indicated bidders in the market and indicated bullish sentiment among speculators.
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The spot CVD has been in an uptrend this past week. The indicator’s findings contradicted those of the OBV, but it was a sign that buyers were strong in the spot market.
From a technical perspective, the area between $203 and $207 offered a good risk-reward buying opportunity. A BNB price drop below $204 would invalidate this idea.
