• Binance coin (BNB/USD) has recaptured crucial support at $266 after the latest crash.
• The cryptocurrency was previously weighed down by adverse publicity.
• A recovery above $266 sets BNB to the next resistance at $295.
Binance coin (BNB/USD) has been on a roller coaster ride lately. After hitting a monthly high of $282 the previous day, the cryptocurrency has now recaptured crucial support at $266 following the latest crash. The strong support at this level keeps BNB stable, although it had lost this level after being weighed down by adverse publicity.
The recent cryptocurrency news suggests that US federal prosecutors have started to investigate the crypto exchange, Binance. Several American firms have been issued subpoenas for their communications with the exchange as it is being probed for possible violations of the US Bank Secrecy Act. These regulations mandate financial entities to verify their clients in a bid to curb money laundering. Despite the potential litigation, BNB price has yet to react to the news.
Since the price was down to a low of $220 in mid-Dec, buyers have been relentless in pushing the BNB price back up. This has seen the cryptocurrency recover to the level which now supports the price and sets BNB to the next resistance at $295. A recovery above $266 has put BNB back to safety and keeps the hopes of further upside alive.
The market sentiment is still largely bullish, as the majority of traders are betting on the eventual success of Binance. This is despite the potential legal troubles that the exchange faces. As the legal situation continues to unfold, traders will be watching the BNB price closely, as any further developments could have a major impact on the cryptocurrency.
In the meantime, BNB investors will be hoping that the price continues to rise to the next resistance level at $295. With buyers continuing to support the price, this could be the start of a major uptrend for BNB. Investors will also be looking for other opportunities to enter the market at a cheaper price, in order to maximize their profits.