ALGORAND bucking the trend, how long?
The crypto asset ALGO or Algorand has been bucking this short term downward trend we are seeing in top cryptos (BTC, ETH et al.)
ALGO is #18 coin by market cap which is $10B
How long can this continue? Not long I think.
Historically "alt coins" or basically anything other than Ethereum or BTC, run up faster when the market is on a bull trend, and they get hit harder on a downtrend.
There are many examples but maybe non better than ADA/USD in Jan. 2018 reaching as high as $1.20 and then crashing to $.35 in Feb 2018 followed by $.18 in March 2018.
Eventually ADA tried to push up in following months but ended up in a $.02-@.04 for a lengthy period and then traded in a $.04-$0.13 channel until fall 2020 when BTC/crypto bull run started.
You can see that I have pointed out long wicks on top of the strong hours of this ALGO rally.
Also I have pointed out that the MACD is above the signal line (bullish) and both the MACD line and signal line are above 0 (bullish).
To me these "bullish" signals do not mean that ALGO will continue to buck the trend. It means that it's possibly a good time to short the asset. Will continue to watch close and update here if I see any changes.
*it also means that ALGO has more room to fall and more profit to be made from short selling vs other assets.
Please be cautious and DYOR, this isn't financial advice, just my analysis.
ALGO is #18 coin by market cap which is $10B
How long can this continue? Not long I think.
Historically "alt coins" or basically anything other than Ethereum or BTC, run up faster when the market is on a bull trend, and they get hit harder on a downtrend.
There are many examples but maybe non better than ADA/USD in Jan. 2018 reaching as high as $1.20 and then crashing to $.35 in Feb 2018 followed by $.18 in March 2018.
Eventually ADA tried to push up in following months but ended up in a $.02-@.04 for a lengthy period and then traded in a $.04-$0.13 channel until fall 2020 when BTC/crypto bull run started.
You can see that I have pointed out long wicks on top of the strong hours of this ALGO rally.
Also I have pointed out that the MACD is above the signal line (bullish) and both the MACD line and signal line are above 0 (bullish).
To me these "bullish" signals do not mean that ALGO will continue to buck the trend. It means that it's possibly a good time to short the asset. Will continue to watch close and update here if I see any changes.
*it also means that ALGO has more room to fall and more profit to be made from short selling vs other assets.
Please be cautious and DYOR, this isn't financial advice, just my analysis.
Comment:
ALGO is now back inside of the bands after two down hours it has having a green hours but MACD is below Signal on my indicator and its meeting resistance around $1.72-173 zone