Algorand ALGO started this month bearish but later found solid ground. However, it has recovered nicely following a notable surge in the past week. It currently appeared strong and set for a new bullish phase.
During the last swing low, which lasted for a month, Algo provided a big discount as the price revisited the yearly low with a potential break lower.
Surprisingly, the bulls reappeared and intercepted the rally against further drop. That interception came with a sharp rejection from the $0.146 level and the price recovered rapidly above the $0.16 level.
The price consolidated for a week before initiating a surge above the $0.18 last weekend. It gathered momentum for three days and initiated another rise to $0.264 a few hours ago. It has retraced briefly due to a sudden rejection, but the price remains strong on the daily chart.
Looking at the recent price actions, the bulls are back but are now facing a small hurdle following the latest rejection. A continuous surge in volatility should allow them to sustain pressure for more gains.
Technically, it has formed a new bullish pattern on the higher timeframe. An increase above last month’s high should set the market for a huge price movement in the long term. More buying volume is needed to make that happen.
Algo’s Key Level To Watch
Now that the price is rising again, here are important resistance levels to keep an eye on. The currently rejected high of $0.264 marks a key level to more gains. Surpassing it could allow the bulls to reclaim $0.29 and the $0.33 resistance (March’s high) with a potential break up.
If not, Algo may retest a close support of $0.22 and $0.20. There’s also support at $0.18 in case of more pullbacks.
Key Resistance Levels: $0.26, $0.29, $0.33
Key Support Levels: $0.22, $0.20, $0.18
- Spot Price: $0.121
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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