The cryptocurrency has been on a general uptrend for the last 26 days; it has found three pullbacks all along during that time but consistently moving upwards. Currently, the pair is on its way to the fourth straight losing session; this temporary retracement will allow the pair to continue its uptrend in the mid and long term.
The Bollinger bands are closing up, but they are still very wide. The price is getting away from the upper band, which is suitable for the short term; this pullback will allow the cryptocurrency to gather strength and resume its uptrend in a few trading sessions.
The relative strength index is recovering from an overbought status, it was at 72% for one day, and with the price dropping, the RSI naturally followed. We could see a more significant retracement, which will allow the RSI to go even lower, which will also strengthen the uptrend in the mid-term.
The spread between the short and long-term moving averages continues increasing even with the recent pullback; this tells us that the uptrend is expected to continue for a while; we are not getting signals from our technical indicators that suggest that the price will drop.
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