Binance Coin Plunges 20%, Tests Key Support

Binance Coin (BNB) experienced a significant price collapse on February 3, with the asset losing over 20% of its value and testing a key price level. Despite a sharp rejection, BNB has since recovered but remains down by 15%.

The price of BNB had been in a bullish zone for two months, staying well above the $600 level. However, high supply in the last 72 hours led to a collapse, with the asset testing the $500 level as support. After a long-wicked rejection, the price bounced back, indicating a strong bullish interception. However, BNB remains weak on a daily scale.

The price of BNB is currently floating well above $570, with bulls attempting to retake the immediate lost level. If successful, a fresh buy could be seen, with the key breakpoint for such an increase being $800. However, bears are still in charge, and a break below the current holding support could cause a bigger loss in the market.

Despite the short-term bearish outlook, there is still hope for a major recovery, as the bullish trajectory remains intact on the long-term scale. The immediate barrier for recovery is $593, followed by $618.7. Higher resistance levels to watch are $660 and $700 for a bigger recovery. For further bearish moves, BNB will have to retake $544, $525, and most importantly, the daily $500 low. A drop off this low should trigger a bigger loss.