The cryptocurrency had a pullback to the support level at the 38.2% Fibonacci retracement at 185.95; the retracement was 13.8% in only four trading sessions. The price managed to recover some ground in the weekend session and is currently trading at 192.9.
The Bollinger bands are wide and continue to move up, indicating that the uptrend should continue in the mid-term; this retracement happened when the price started trading over the upper band, which naturally suggests that the price is relatively high.
The relative strength index is recovering from an overbought status, another reason why the price suffered the temporary pullback. The current RSI is at 57%, which will allow the pair to continue its uptrend for a few sessions.
Our parabolic SAR indicator suggests that the price will continue to drop; however, this is a lagging indicator that gives more weight to the recent losses.
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.
