December 6, 2022

ALGO Price Analysis: Bulls Gearing Up For A Rally to New ATH

2 min read

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< img width ="1200"height ="627" src="https://cdn.coingape.com/wp-content/uploads/2020/04/03085731/Webp.net-resizeimage-18.jpg"class="attachment-full size-full wp-post-image"alt ="algorand"design="float: right; margin:0 0 10px 10px;"srcset=" https://cdn.coingape.com/wp-content/uploads/2020/04/03085731/Webp.net-resizeimage-18.jpg 1200w, https://cdn.coingape.com/wp-content/uploads/2020/04/03085731/Webp.net-resizeimage-18-300x157.jpg 300w, https://cdn.coingape.com/wp-content/uploads/2020/04/03085731/Webp.net-resizeimage-18-768x401.jpg 768w" sizes ="(max-width: 1200px) 100vw, 1200px"/ > The Algorand proof-of-stake [font-weight: 400;”>. PoS] blockchain platform just recently launched its Algorand Virtual Machine, which quickly draws brand-new cash into the community. Let’s examine the ALGOUSDT chart following a top-down method, starting from the day-to-day amount of time, and covering it up on the 4HR timespan.

Algorand (ALGO) Daily Chart Analysis

< img class ="aligncenter size-full wp-image-91637" src=" https://cdn.coingape.com/wp-content/uploads/2021/10/02231816/unnamed-31.png "alt =""width ="1143"height ="646"/ > A bullish campaign started on the everyday timespan of the ALGOUSDT upon entering the RSI overbought area [level-75], shown by the green label of the on-chart RSI indicator. The bulls continued to scale into their buy position as the RSI continued to hover above the level-25 and lastly dipped listed below level-25 on 21 Sep ’21.

Although the RSI dip listed below the level-25 may send a bearish outlook towards the set, the recent rate close above bearish inside bar resistance and bullish divergence on 21 Sep ’21 tip that the bulls are still hiding around the corner.

An entry of the RSI above the level-75 would confirm a bullish comeback as the ALGOUSDT currency exchange rate break above the bearish divergence trend line.

Algorand (ALGO) 4HR Chart Analysis

Coming down to the 4HR amount of time, ALGOUSDT plunged into a downtrend after a collapse of bullish inside bar support [2.3242] on 12 September ’21 at 16:00, setting new resistance on the bearish engulfing candlestick pattern [2.5574]

As old short sellers take revenue off the table and sign up with brand-new bulls, the ALGOUSDT signaled its first regular bullish divergence on 21 Sep ’21 at 20:00.

  • Bullish/Bearish Scenario

We observe an accumulation of need for the ALGO token, following the recent statement of the Algorand virtual maker on 29 September ’21.

  • A bullish divergence on 28 September 20:00 serves as a trigger confirming that the AVM news is a favorable one for the PoS Altcoin.
  • In addition to the bullish divergence, the rate breach of the bearish divergence pattern line likewise shows massive demand brewing for the ALGO token.
  • Alternatively, a price slump listed below the 1.5211 support is possible, a black swan occasion that might signify a takeover by bears throughout the crypto market.

Algorand (ALGO) Intraday Levels

  • Spot rate: 1.7445
  • Mid– Term Trend [H4]: Uptrend Starts
  • Volatility: Low
  • Support: $1.5211 and $1.5529
  • Resistance: $1.7707, $1.8570, and $2.3242

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