dYdX price rebounds, but sell cluster threatens breakout rally
The post dYdX price rebounds, but sell cluster threatens breakout rally appeared on BitcoinEthereumNews.com.
dYdX has embarked on a recovery push amid growth in buying pressure, but a cluster of sell orders threatens its potential for further rise. dYdX has increased by 4% over the past 24 hours, emerging as the top gainer among the top 100 cryptocurrencies. The upward momentum marks its third consecutive day of intraday gains after it witnessed sustained consolidation on the back of the broader market’s bearish trajectory. DYDX 1D chart – Aug. 19 | Source: Trading View The previous collapse commenced with a sharp 7% drop on July 23, following reports confirming that the exchange’s website had been compromised. dYdX currently trades for $1.127, up 2.07% this morning. Data from the daily chart confirms that since July 26, dYdX has been carving out a rounding bottom pattern, a favorable reversal signal indicating a potential shift in market sentiment. This formation suggests that the prolonged downtrend might be nearing its end, with buyers gradually gaining control. However, dYdX is now approaching a multi-week descending trendline that has acted as a formidable resistance. dYdX must close above the psychologically significant level of $1.60 to confirm a breakout and signal a more substantial bullish reversal. Adding to the bullish outlook, the Moving Average Convergence Divergence (MACD) indicator on the daily chart shows signs of strengthening momentum. The MACD line (-0.043) has crossed above the signal line (-0.066). dYdX faces sell order cluster The road ahead is not without challenges, as indicated by the asset’s market depth, according to data from IntoTheBlock. While the average bid price is $1.04, the average ask price is higher at $1.11, indicating that sellers are willing to offload their positions at a premium. dYdX order books – Aug. 19 | Source: IntoTheBlock There is substantial resistance above the current price. Sell orders accumulate significantly as the…
Filed under: News - @ August 19, 2024 10:28 am