Search
Close this search box.

Algorand (ALGO) Price Risks 25% Drop Following Bearish Breakout

Algorand (ALGO) Price Risks 25% Drop Following Bearish Breakout

Algorand (ALGO) Price Risks 25% Drop Following Bearish Breakout

  • ALGO is buying and selling inner an ascending parallel channel.
  • It created a hammer candlestick on Oct,13.
  • There is long-time period aid at $0.24

Algorand rate created a bullish candlestick on Oct. 13, however this became now no longer enough in beginning a bullish reversal. A breakdown from the present day sample continues to be expected.

ALGO has been growing interior an ascending parallel channel when you consider that falling to every year low of $0.275 on June 18. ALGO rate made a breakout try on Sept 23, however became rejected with the aid of using the resistance line of the channel (pink circle).

The rejection and resulting downward rate motion have been important because it each verified the resistance line of the channel and showed the deviation above the $0.373 resistance area. While ALGO bounced on Oct. 13, it’s miles nonetheless buying and selling with inside the decrease part of the rate channel. So, a breakdown is the maximum possibly scenario. This is likewise supported with the aid of using each day RSI, which has fallen under 50 (pink icon).

Relief prior to price breakdown

To conclude, each the weekly and every day charts supply a bearish rate prediction. They imply that the ALGO has but to attain a bottom. Once it breaks down from the modern-day pattern, a 25 rise in rate is predicted.

The short-time period chart affords a few opportunities for relief. It suggests that ALGO has damaged out from a descending resistance line. However, as soon as the Algorand rate reaches the $0.348-$0.363 resistance, the resumption of the downward motion is likely.

Share to Social Media

Leave a Comment

Your email address will not be published. Required fields are marked *