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- BNB is consolidating just below major resistance near the $900 zone.
- Ethereum remains under short-term pressure but is holding critical long-term support.
- Near-term price action for both assets is likely to be driven by technical signals, not fundamentals.
Binance Coin (BNB) and Ethereum (ETH) are both entering technically sensitive phases as January 2026 progresses, with traders closely watching charts for confirmation of the next meaningful move. While broader crypto sentiment remains cautious, both assets are showing signs that a decisive breakout—or breakdown—may not be far away.
BNB Price Compresses Near Major Resistance
BNB is currently trading near the upper end of a tightening range, reflecting a market that is pausing after late-2025 volatility. Price action has narrowed significantly, a classic signal that momentum is building beneath the surface.
From a technical perspective, BNB remains capped just below the $900 area, a level that has repeatedly attracted selling pressure. A sustained move above this zone would likely open the door to renewed upside momentum. On the downside, support in the high-$870s continues to act as a buffer. A clean break below that area could expose deeper retracement levels closer to the mid-$860s.
Momentum indicators suggest caution. The MACD points to mild bearish pressure, while the RSI sits in neutral territory, signaling neither exhaustion nor strong conviction from either side. In the absence of fresh fundamental catalysts, short-term direction is likely to be driven by technical triggers and broader market tone rather than project-specific news.
Ethereum Struggles Short Term, but Support Holds
Ethereum, meanwhile, is facing near-term weakness after failing to sustain recent consolidation gains. Price has drifted lower, reflecting continued selling pressure across major altcoins. Still, ETH is hovering near long-term support levels that many analysts see as structurally important.
Some market watchers note that Ethereum is attempting to rebound from these zones, with a potential test of descending resistance if buyers regain control. Others remain more cautious, pointing to bearish daily closes that leave room for further downside before a meaningful recovery can take shape.
ETH’s performance remains closely tied to Bitcoin’s direction and overall market dominance metrics. A shift in Bitcoin dominance could allow Ethereum to stabilize or outperform modestly, but for now, traders are focused on short-term charts to identify safer entry points.
Market Outlook: Technicals Take the Lead
Both BNB and ETH are operating in environments defined more by chart structure than headlines. With no major catalysts immediately in play, price action around key support and resistance levels will likely dictate sentiment in the days ahead.
Also Read: Bitcoin Whale Sends 4,000 BTC to Binance as $81.5K Support Faces Breakdown
For BNB, a breakout above resistance could reignite bullish momentum, while Ethereum needs to hold its current base to avoid deeper corrections. Until clarity emerges, patience and disciplined risk management remain essential.
As January unfolds, BNB and Ethereum are sending similar signals: compression, hesitation, and rising sensitivity to technical levels. Whether this leads to renewed upside or extended consolidation will depend on how the broader market responds in the near term. For now, traders are watching closely, knowing that periods of quiet often precede sharp moves.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
