BNB Price Drops Below $1,000 Amid Market Correction
BNB, formerly known as Binance Coin, fell 7% recently and now trades below $1,000. On Friday, it lost nearly 1% more, nearing the support line of a rising channel. Both technical analysis and derivatives data show a drop in buying pressure. This signals possible further price declines.
Derivatives Data Shows Sell-Side Pressure on BNB
Data from CoinGlass reveals a 3.56% drop in BNB Open Interest over the last 24 hours. It now stands at $1.84 billion. This outflow suggests traders are less confident in BNB. The OI-weighted funding rate also fell from 0.0091% to 0.0062%. Long liquidations reached $11.91 million, much higher than short liquidations at $721,610. The long-to-short ratio is 0.9279, showing more active short positions and sell-side dominance.
BNB Faces Key Support Levels as Buying Pressure Weakens
BNB is close to breaking the lower boundary of its rising channel on the daily chart. The token reversed from its all-time high of $1,083 last Sunday, starting the current downtrend. For a confirmed breakdown, BNB must close below the $928 support level. If this happens, the price could drop to the 50-day EMA at $895 and then to the pivot level at $829.
Technical indicators support this bearish outlook. The MACD has crossed below its signal line, showing increasing downward momentum. The RSI has fallen to 50 from overbought levels, indicating weaker buying pressure. On the upside, a bounce from $928 could lead BNB to retest the $1,000 resistance level.
