- Dash price failed to trade higher and heading lower as anticipated in yesterday’s analysis.
- The price is struggling to move higher, pointing that sellers are here to stay.
- A bearish trend line is formed, which can be seen as a swing area in the short term.
Dash price might test the last low of 0.0104BTC moving ahead as buyers failed to take it higher.
Retest of lows?
We highlighted yesterday that there is a chance of a move lower, as there was a rejection noted around 0.0112BTC. The price attempted once more time clear the mentioned area, but failed to move above it. There was a back-to-back rejection noted. The most important point is that the stated level was sitting around the 50% Fib retracement level of the last drop from 0.0120BTC to 0.0104BTC. This suggests that it might be a correction wave and the chances of a decline in the short term is more.
There is a bearish trend line formed combining all the recent failures. As long as the price is below the trend line more losses are likely. There are many bearish signs emerging on the hourly chart, adding to the bearish view. First, the price is well below the 100 hourly simple moving average. Second, the hourly RSI is below the 50 level. Third, a minor divergence building on the MACD. Last, the price moving below the Middle Bollinger Band, suggesting that a test of the Lower Bollinger Band is possible.
On the downside, a break below the last low of 0.0104BTC may open the doors for our much awaited target of 0.0102BTC where buyers might appear to protect downsides.
Intraday Support Level – 0.0104BTC
Intraday Resistance Level – 0.0112BTC
Overall, staying with the idea of selling rallies close to 0.0112BTC is a good option.
Charts courtesy of Trading View