Darkcoin remains subdued as every rise is quickly undone by selling pressure. The cryptocurrency has failed at shrugging off the pessimism and continues to trade in a lower top fashion. Even with prices consolidating, it seems hard to advise that bears won’t make a comeback and that buying should be initiated.
Darkcoin users will now have to shell out 0.01588BTC.
In the short term, Darkcoin may consolidate or fall to lower levels, but there doesn’t seem to be a proper case to support any bullish argument. The 240-minute DRK/BTC price chart has been taken to implement the technical analysis.
Darkcoin Price Structure
It is clearly visible from the chart that the bulls have been disappointing in their attempts as price languishes near the lows. Failure to achieve new highs or even to threaten previous ones only speaks about the lack of strength in the currency.
Since the start of this month, Bollinger Bands have been playing a crucial role in the price action. The lower range is acting as a cushion while the 20-4h simple moving average is posing a major hurdle. Even now, the price comes under pressure as it approaches the SMA of 0.016BTC.
Relative Strength Index
The RSI indicator reads 44.13, a value that does not help the buyers looking to make short-term profits. Market participants should note that a fall in RSI value in the consolidation phase should be seen as a sign of weakness while an improvement in reading could set the stage for a trend reversal.
Conclusively, it must be reiterated that this is still a sellers’ market and buying should be halted until significant signs of trend reversal emerge. Price appreciation should be seen as an opportunity to build short positions. Negative price shocks may be seen as the trading range narrows down.