Binance Coin $495.87 (BNB) has repeatedly tried to stay above the $500 level, but has fallen below this level again. This decline has further reduced investors’ confidence in BNB amidst the ongoing extreme fear in the cryptocurrency market, creating a negative atmosphere.
At press time, BNB is trading at $494. Analysts are studying what investors think about the cryptocurrency’s short-term potential and assessing possible price trends. A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
Investors’ Attitude Has Changed
According to Coinglass data, BNB’s Long/Short ratio was above 1 in the morning hours of September 7, but later dropped to 0.85. This ratio measures the general inclination of investors and shows that 53% expect the price to fall.
On the other hand, 46% of BNB investors are predicting a price increase. A Long/Short ratio above 1 indicates that more investors are taking long positions and expecting a price increase. However, the current ratio reveals that many investors are skeptical that BNB’s price can gain upward momentum.
“BNB has been relatively quiet over the past month, but there has been a steady and noticeable increase in social volume. Crowd is likely to play a significant role in this rally,” said Brian Quinlivan, Santiment’s Chief Analyst.
BNB Weighted Sentiment Negative
According to Santiment data, the Weighted Sentiment, which was at 1.57 on September 4, has decreased to -0.46 today. Weighted Sentiment indicates whether online comments about a cryptocurrency are generally positive or negative. A positive reading indicates that most comments are optimistic, while the situation is the opposite for BNB.
The decline in this metric supports that the majority of participants are skeptical and negative about BNB’s price recovery. This negative sentiment could make it even harder for BNB price to recover.
Price Prediction: Is a Drop to $464 Possible?
On the daily timeframe of BNB/USD, the bulls attempted to defend the support at $503, but the bears repelled the effort and the price dropped to $494. The Exponential Moving Average (EMA) indicator showed that a bearish dividing pattern known as a “death cross” was forming.
A death cross occurs when the short-term EMA crosses below the long-term EMA. Currently, the 20-day EMA (blue) has crossed below the 50-day EMA (yellow), which means the BNB price could drop further.
If the bulls fail to sustain the price again, the price could drop to $464. However, if the price does not decline below $487 and recovers, a rally towards $503 is possible.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
