- Dash price traded higher and breached a critical bearish trend line.
- Buyers failed to capitalize after the break, as the upside stalled around 0.0119BTC.
- An hourly close above the 100 simple moving average is required for buyers to take control.
Dash price trading higher did not come like a surprise, as we were anticipating a break due to continuous failure to break 0.0116BTC.
Yesterday, we stated the importance of 0.0116BTC support area, which held the downside on numerous occasions. It helped buyers to gain ground and take the price higher in the short term. There was a bearish trend line on the hourly chart, which was broken during the upside drift. The price pierced the 100 hourly simple moving average once, but failed to settle above it successfully. The upside was stopped around the 23.6% Fib retracement level of the last drop from 0.0125BTC to 0.0116BTC.
The price is currently moving back lower and trading around the broken trend line. Buyers need to defend the downside around the mentioned trend line, as if they fail to do so more losses are possible. In that situation, a move towards the last swing low of 0.0116BTC is also possible.
Let us see whether the price can find support around the broken trend line. If the price moves higher and settles above the 100 hourly MA, then a test of the 50% Fib retracement level is very likely. If sellers gain momentum, and manage to take the price lower, then the all-important 0.0116BTC might be tested again. A break below it could set for a test of 0.0112BTC.
Intraday Support Level – 0.0116BTC
Intraday Resistance Level – 0.0120BTC
In short, there are mixed signals for Dash price, which means staying on the sidelines might be an option.
Charts courtesy of Trading View