BNB Price Declines Amid Rising Retail Selling
BNB, formerly known as Binance Coin, trades near $855 as of Tuesday. The price fell slightly the day before, with bearish pressure growing. Data shows more retail traders are active and selling dominates the market. Funding rates have turned negative, adding to the downside risk for BNB.
Bearish Signals from Futures and Funding Rates
- CryptoQuant reports that BNB futures average order size is rising, signaling increased retail trading.
- The Futures Taker CVD shows a sell-dominant trend for BNB futures.
- Coinglass data reveals the funding rate flipped negative on Monday, reaching -0.006% on Tuesday.
- A negative funding rate means more traders expect BNB’s price to fall.
- In past cases, BNB prices dropped sharply after rates turned negative.
Technical Indicators Point to More Downside
BNB hit a descending trendline resistance on December 9 and dropped nearly 5%. It retested daily support near $844 on Monday but remains weak around $853 on Tuesday.
If BNB closes below $844, the price may head to weekly support at $709.29.
The Relative Strength Index (RSI) is 39, showing rising bearish momentum. The MACD lines are close to a bearish crossover, which could confirm a further decline.
On the upside, a recovery above current levels could push BNB toward the 50-day EMA near $923.
