The cryptocurrency broke two support levels at our 38.2% and 23.6% Fibonacci retracements. However, it managed to stay above the 190.399 support level after falling to $183.447.
The Bollinger bands are opening up aggressively; the price trades slightly above the lower band, which indicates that it is relatively low. We could see the price continue falling; the support level at 190.399 is critical; if the price consolidates the breakout, we would expect the pair to continue falling; otherwise, we would expect a recovery in the short term.
The relative strength index is at 42%, allowing the pair to gain some ground in case the breakout is not completed. We had not seen such losses for the pair since Jun 21, 2021.
The short and long-term moving averages gap is getting smaller, which could indicate a downtrend, but there is nothing written yet; we know that anything can happen in the cryptocurrency world.
We love to hear new ideas from traders and want to know what you think!
If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite.
Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.