Lido resumes bullish after successfully breaking above a crucial resistance trendline. It retested the trendline as support yesterday and now surging toward a key resistance level. But it seems to be facing resistance.
After losing momentum for three months, LDO found support above the $1.5 level and bounced off to the peak of $2.5. It encountered sudden rejection and marked the peak price as resistance in mid-May.
The rejection led to a steady drop for more than a week before it found a solid level at $1.92 last weekend. It initiated a fresh buy and broke through a crucial resistance trendline to mark a weekly high at $2.2 on Monday.
A rejection from that high activated a three-day drop to retest the trendline, bouncing back with a daily 10% gain. This put the price above Monday’s high but it is now facing a key resistance at $2.3. An increase above this key resistance should allow more room for buying.
If a rejection occurs, the price could retrace a little before rising back. The bulls are slowly gaining control with the latest price gains. Last month’s low is still holding as support. A drop below it will trigger a major drop on the daily chart.
Despite the latest surge, the daily volume indicator is still a bit low right now. We can expect it to start increasing as soon as the price advances.
LDO’s Key Level To Watch
Source: Tradingview
The closest level to keep in mind for a pullback lies at $2.1 and $2 on the lower time frame. If those levels fail, the immediate supports to consider are $1.85 and $1.57 – last month’s low. A breakdown from there could slip the price to $1.3 in no time.
Above the current trading level, the nearest resistance level to keep an eye on is $2.6, followed by $3 and $3.3, which lies as a breakout level for a strong buy.
Key Resistance Levels: $2.6, $3, $3.3
Key Support Levels: $1.85, $1.57, $1.3
- Spot Price: $2.3
- Trend: Bearish
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
Image Source: dangpham/123RF // Image Effects by Colorcinch
