Hello,
Today I will analyze the social media platform coin named STEEM.
Similarly to most altcoins, STEEM/BTC took an important (but waited and quite due) correction after going from 6k in March to its all time high at 100k in May (16x growth). Today STEEM/BTC trades around 40k which represents 60% in retracement.
But with BTC coming back on its feet and with the current chart setup of STEEM, good opportunity of trading could come.
Indeed, on the chart you could see that STEEM/BTC is inside two descending triangles which are bullish patterns because it tends to break upward. STEEM bounced on the bottom of those triangles several times on the last months. At this level as you can see we also have a 0.382 Fib resistance (dashed black line) and also a longterm upward trend (purple line). Yesterday this purple line and the bottom of the triangle intersected and the price bounced on it.
The first triangle (between the lower black and the orange lines) is a short term one which should resolve before the 11th of august and a medium term one (between the two black lines) which should resolve before the end of August.
If the first triangle brokes upward we may see an uptrend in order to test the the top of the descending triangle (up to the upper black line maybe up to 45-47k). If the uptrend momentum is big enough, we could even see a break of the second triangle. But I think we will have several bounce inside the second triangle in August before it breaks. If this second triangle break upward we will test the 0.618 fib resistance around 64k with maybe a small stop at the “fake” fib 0.5 resistance around 53k.
If one of the triangle breaks downward STEEM may go down to 28k at the 0.236 Fib resistance. If this support doesn’t hold we may revisit 20k.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD doesn’t give a strong buy signal because they don’t concord at the same time. The best signal is shown on the chart with the green B letter around 38k which also correspond to today price range.
In conclusion, It may be a good time to buy some Steem (at the bottom of the triangle after a bounce for a more risky bet or when the triangles break for a safer buy).
Today I will analyze the social media platform coin named STEEM.
Similarly to most altcoins, STEEM/BTC took an important (but waited and quite due) correction after going from 6k in March to its all time high at 100k in May (16x growth). Today STEEM/BTC trades around 40k which represents 60% in retracement.
But with BTC coming back on its feet and with the current chart setup of STEEM, good opportunity of trading could come.
Indeed, on the chart you could see that STEEM/BTC is inside two descending triangles which are bullish patterns because it tends to break upward. STEEM bounced on the bottom of those triangles several times on the last months. At this level as you can see we also have a 0.382 Fib resistance (dashed black line) and also a longterm upward trend (purple line). Yesterday this purple line and the bottom of the triangle intersected and the price bounced on it.
The first triangle (between the lower black and the orange lines) is a short term one which should resolve before the 11th of august and a medium term one (between the two black lines) which should resolve before the end of August.
If the first triangle brokes upward we may see an uptrend in order to test the the top of the descending triangle (up to the upper black line maybe up to 45-47k). If the uptrend momentum is big enough, we could even see a break of the second triangle. But I think we will have several bounce inside the second triangle in August before it breaks. If this second triangle break upward we will test the 0.618 fib resistance around 64k with maybe a small stop at the “fake” fib 0.5 resistance around 53k.
If one of the triangle breaks downward STEEM may go down to 28k at the 0.236 Fib resistance. If this support doesn’t hold we may revisit 20k.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD doesn’t give a strong buy signal because they don’t concord at the same time. The best signal is shown on the chart with the green B letter around 38k which also correspond to today price range.
In conclusion, It may be a good time to buy some Steem (at the bottom of the triangle after a bounce for a more risky bet or when the triangles break for a safer buy).
The firs triangle should resolve very soon. If it breaks downard we could go down to 28k and if it break upward, we could test the top of the second triangle.