WAVES’s price drop shows an increase in selling pressure that has pushed it past the immediate support level. The current move could lead to a further crash if WAVES buyers were to cut key support levels.

WAVES price edges lower with significant losses on Friday. The price is trading near a critical support around $25.0, more downside if the level breaks. WAVES price has lost nearly 45% since the start of the week.

WAVES Price Looks For Downtrend Continuation

Source: Trade View

The WAVES price is currently hovering around $26.0 within a previous demand zone. The token is down 45% since the start of the week. Now if the price breaks the reliable support level, it would trigger another round of selling in the asset. In addition, the slippage of the 50-day EMA (Exponential Moving Average) at $29.46 points to brewing bearish sentiment.

As this area forms a demand zone and a support level, a breakdown of the former will indicate an increase in selling pressure and could cause a further crash.

Investors would gather liquidity near the demand zone stretching from $20.0 to $17.06.

On the other hand, if the WAVES buyers tie together, the price would have a good chance of recovering above $30.0. This should alleviate the prevailing bearish outlook. A consolidation above the session high could hold the key to another run up to $40.0. This would be a 53% price increase from the current level of $26.0.

In a very optimistic scenario, WAVES price could extend gains and retest the psychological $50.0 level.

Technical indicators:

MACD: The moving average convergence divergence slipped sharply below the midline with heavy selling pressure.

RSI: The daily Relative Strength Index has approached the oversold zone. It’s at 39, still far from the extreme state.

Disclaimer

The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication is not responsible for your personal financial loss.

About the author

Rekha started out as a Forex market analyst. Analysis of fundamental news and its impact on the market movement. Develop interest in the fascinating world of cryptocurrency later on. Tracking the market using technical aspects. Investigate analysis of the chain to follow the market.



This post Dives 13% below the 50-day EMA; Is $20.0 possible?

was published first on https://coingape.com/markets/waves-price-prediction-plunges-13-below-50-day-ema-is-20-0-possible/

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