Binance coin has recaptured crucial support at $266 after the latest crash
The cryptocurrency has previously been weighed down by unfavorable publicity
A recovery above USD 266 moves BNB to the next resistance at USD 295
Binance (BNB/USD) was trading at $274 on Tuesday, down from a monthly high of $282 the previous day. BNB buyers would be delighted at how far the cryptocurrency has come since Binance was negatively named.
With a low of $220 in mid-December, there were fears of further downturn for BNB following the collapse of FTX. That is mainly because at the price level, BNB had lost crucial support at $266, leaving it stable. However, through relentless buying, BNB has recovered to the level that now supports the price.
At least BNB price is now back in safety above $266. However, Binance’s woes seem far from over. The last cryptocurrency news suggests US federal prosecutors have begun investigating the crypto exchange. According to reports, several US companies have been served subpoenas for their communications with Binance. The exchange is reportedly under investigation for violations of the US Bank Secrecy Act. The regulations require financial entities to verify their customers in an effort to curb money laundering. BNB price has yet to comment on the potential lawsuit.
BNB is recovering above USD 266 as the price turns mildly bullish
BNB/USD chart by TradingView
A technical outlook gives BNB $295 as the likely price target. This is the next resistance zone and BNB has historically hit the target whenever the price recovered above $266. The MACD indicator is moving above the neutral zone, underlining bullish momentum. Similarly, BNB is trading above the moving averages. The 50-day MA could count as the dynamic support, coinciding with the $266 level.
Is investing in BNB a good idea?
A retest of the $266 support would open buy trades on the cryptocurrency. Investors should watch for bullish price action signals in the support of Buy BNB and ride to the $295 resistance.
Where to buy BNB
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Binance is one of the largest cryptocurrency exchanges in the world. It is better suited for more experienced investors and it offers a large number of cryptocurrencies to choose from, which is over 600. Binance is also known for its low trading fees and a multitude of trading options that its users can take advantage of, such as; peer-to-peer trading, margin trading and spot trading.
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