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Binance Coin (BNB) has retested the lows it established on Friday, 6 February, at $570. The move was viewed as a worrisome sign for bulls and long-term investors, indicating bearish dominance.
Sellers threatened to push prices below the $570 swing low and drive the exchange token on its next downward move. Coinalyze data aligned with this bearish dominance.
Although the funding rate remained positive, spot CVD has been steadily falling over the past week. When BNB dropped to $570, open interest rose from $530 million to $560 million, suggesting short sellers were entering the market during the move lower. Open interest has since slowed as the price briefly bounced toward the $590 resistance.
BNB’s issues were also reflected in its relative weakness against Bitcoin (BTC). BTC’s February low was at $66,000, while the current market price is $66.6k. Against that backdrop, BNB tested its February lows.
Speculative conviction and a lack of demand could push BNB further lower. On the 1-day timeframe, the RSI was at 34, indicating strong bearish momentum. OBV bounced higher in March but has been slowly falling again.
The $577 and $604 levels were identified as key points to watch over the next few days. A recovery back above $604 would be a short-term win for bulls, though it would not determine the broader trend.
If $577 support is lost, the next target would be $530. A 3-month liquidation heatmap suggested further downside risk, with a cluster of liquidity built up around $565 that could pull BNB lower. On the upside, the $650 and $700 regions had long liquidations and could be targeted if BNB bounces.
Based on the evidence presented, traders should anticipate a move toward $530. A bounce toward $600, or even as high as $650–$700, would be viewed as a potential opportunity for selling.
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