Binance Coin Holds Strong Support Level, Despite Market Correction

The cryptocurrency market has experienced a significant correction in recent weeks, with major coins like Bitcoin and Ethereum seeing double-digit declines in value. However, Binance Coin (BNB) has managed to hold its ground, consolidating above a key support level of $320 against the US Dollar.

At the time of writing, BNB is trading below $330 and the 100 simple moving average (4 hours). However, there is a key bearish trend line forming with resistance near $333 on the 4-hour chart of the BNB/USD pair, indicating that the cryptocurrency could see a major increase if it manages to break above this level.

BNB Price Attempts Upside Break, Corrects Gains

Last week, Binance Coin attempted an upside break above the $340 resistance level, but the bulls struggled to gain momentum, resulting in a correction similar to Bitcoin and Ethereum. This led to a move below the $330 support zone, with the price testing the $320 support level.

However, BNB managed to hold its ground, forming a low of $320.8 before consolidating above the $320 support level. While the price is currently trading below the 100 simple moving average (4 hours), the fact that it has held its ground above the key support level is a positive sign for the cryptocurrency.

Key Resistance Level to Watch

As mentioned earlier, there is a key bearish trend line forming with resistance near $333 on the 4-hour chart of the BNB/USD pair. If Binance Coin manages to break above this level, it could signal a major increase for the cryptocurrency.

In addition to the bearish trend line, there is also resistance near $335 that could prove to be a key level for BNB. If the cryptocurrency manages to break above this level, it could open the door for further gains in the coming weeks.

Conclusion

Despite the recent market correction, Binance Coin has managed to hold its ground above a key support level of $320 against the US Dollar. While the price is currently trading below the 100 simple moving average (4 hours), the fact that it has held its ground above this support level is a positive sign for the cryptocurrency.

Investors and traders will be closely watching the key resistance levels of $333 and $335 in the coming weeks, as a break above these levels could signal a major increase for Binance Coin.