The cryptocurrency is up 34.11% in only four trading sessions; the price managed to set a new high for the last six months when it reached $275 in the previous session. The price is expected to drop in the short term, as multiple technical indicators suggest. The price moves up very aggressively, and a retracement is imminent; we just don't know how much longer the uptrend has before it falls.
The Bollinger bands opened up very aggressively in the last three sessions, but even with the massive open they created, the price still trades way above the upper band, suggesting that the price is very high. Traders will have to decide on whether to maintain their long positions or close with a profit.
The relative strength index is currently at 78%, which is above the overbought status, another indicator that the price is too high, the pullback is near, we will have to wait until the drop starts and see if the price can find support at the 23.6 or 38.2% Fibonacci Retracements.
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