Can the bond market sell-off negatively impact Binance Coin price?
|- Binance Coin price slips lower for a third day in a row.
- BNB is set to slip below support at $323 as the level gets broken in the ASIA-PAC trading session.
- Bonds are selling off across the board on Monday as markets continue their downward path from Friday.
Binance Coin (BNB) price must see quite a few crypto traders puzzled this morning when looking at the charts. With several cryptocurrencies slipping lower, the risk is increasing that cryptocurrencies are lagging on the overall market reaction in the wake of the strong US job numbers. A catchup is due, and if the sell-off in the bond market is any guide this morning, BNB is set to drop below $300 as the US Goldilocks scenario is again being shelved for a few weeks.
Binance Coin price set to get overrun by the bond market
Binance Coin price is slightly lower this Monday morning after a blood-red opening of the markets during the ASIA-PAC session. Meanwhile, into the European trading session, bonds have been selling off across the board as traders are getting out of their bullish Goldilocks trades as the possibility of any rate cut in the US has become slightly narrower. Risk assets are in for a rough ride this month with the Goldilocks scenario being shelved.
BNB already broke below the $323 supportive level this morning and is currently taking a hiatus, while all other asset classes in the market are near daily lows. Rates are spiking up in the aftermath of the US jobs report from Friday as the big upside surprise confirmed what the Fed has been telling markets. This means some big unwinds will happen in risk assets, with BNB set to tank below $300 and could break either the monthly pivot or the 200-day Simple Moving Average with BNB’s fair value closer to $280.
BNB/USD daily chart
Upside support could come from the US session later this evening, should traders there brush off the jobs report from Friday. US traders might buy the dip across the board and see price action jump higher with Binance Coin price jumping above $336.50, preferably even above the monthly R1 at $343. The road is at least open for a jump higher in the coming weeks toward $389. A slowdown in that rally is expected near the R2 resistance level at $375, but this would still see 15% profits materialising.
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