The crypto space is used to undertake notable swings during the weekend and as expected, most of the cryptos dragged a massive leg down. Bitcoin price sliced through the lower support and marked new lows for the month at around $16,500 which dragged the entire crypto space down. As a result, the Binance Coin which has been under the surveillance of bears for a few days is expected to go through a steep descending trend very soon.
Recently, the world’s largest crypto exchange Binance was believed to have landed in deep trouble and was expected to undergo a similar fallout as Terra or FTX. It all started when the platform halted the USDC transactions due to which panicked traders withdrew funds in huge amounts from the platform. At the same time, the Proof-of-Reserve report rolled out by the platform also displays some flaws.
This created a huge FUD within the crypto space that led to a drop of nearly 25% in just a couple of days. Meanwhile, the price has witnessed a slight recovery but is believed to revive a steep bearish trend to replicate LUNA-like fallout very soon.
The BNB price broke down from a multi-month support zone, which was earlier witnessed with LUNC (LUNA then). The price reached its peak ad broke down drastically which was the first time in history. Comparing both the charts and the scenario, the analyst here cautions his 216.9K followers that BNB price may also slash hard similar to how LUNA fell then.
The analyst here refers to Elliot’s wave theory which is usually used to determine the upcoming price trend by considering market sentiments in the form of a wave. As the BNB/BTC chart mentioned above completed the 5th wave as per the theory and hence looking for a bearish reversal that may drop the price below $150 in the coming days.
Presently, the Binance coin (BNB) price is hovering below $250 at around $247.6, rising from the lows of $220.5. Despite a significant bullish volume, the price appears to be struggling hard to regain the levels above $250. If the price continues to remain within bearish captivity, then it may resemble the Terra (LUNA) price drop very soon.