BNB Falls After Prosecution Reports: Will Binance Coin Reclaim $300 Again?
Binance Coin (BNB) is facing turbulent times. Recent reports, notably a Reuters report claiming that the DOJ are split on whether to investigate the crypto exchange, have triggered a significant price drop. BNB is currently trading at $283, and investors are anxiously watching to see if it can reclaim the crucial $300 level.
Why is BNB struggling? Several factors are contributing to BNB's woes. The negative sentiment surrounding potential DOJ scrutiny is weighing heavily on investor confidence. Furthermore, Binance Coin is having a hard time trading above $300 despite Binance snapping up most of the global crypto trade volume after FTX’s implosion. A class action lawsuit has been brought against Binance, alleging RICO violations, adding further pressure.
Technical Analysis: The Battle for $300 Binance Coinis down by a steep 16% over the past week of trading, but the bulls are currently involved in a battle to reclaim $300. Our last analysis highlighted that BNB was trading in a… precarious position. BNB price is currently under the five-month-old resistance block between $575 and $619, highlighting significant overhead resistance. The immediate focus is on overcoming the $300 hurdle.
What Happens If BNB Fails to Reclaim $300-$320? If the price of BNB fails to reclaim $300-$320, the support at $250 would be a good area for bulls to build strength and keep the price sell-off from continuing. A break below this level could trigger further declines.
Key Takeaways:
- BNB is under pressure due to potential DOJ investigation reports.
- A RICO class action lawsuit adds to the negative sentiment.
- The immediate goal is to reclaim the $300 level.
- Failure to hold $300-$320 could lead to a test of the $250 support.
Stay tuned for further updates on BNB's price action and the latest developments surrounding Binance.