To the Moon or Just DAG-ging Along?
Technical Analysis:
1. Reversal Setup and Price Action:
The price of DAG/USDT has bounced off a crucial support at $0.0216 , where it has reacted previously.
Currently, the price has broken the last bearish swing high at $0.028 , which signals a possible shift in market structure from bearish to bullish.
The momentum indicator is in the oversold zone, coinciding with the key support level, which suggests a potential for a bullish reversal.
2. Trend and Ribbon Indicators:
The trend and ribbon indicators are bullish on lower timeframes (1h, 4h), which implies the shorter-term momentum is building in favor of the bulls.
Although the 1D ribbon is still bearish, the price has risen above the ribbon, indicating an early shift in momentum.
3. Targets and Resistance Levels:
The next resistance levels are $0.053 and $0.095 , based on previous swing highs and key Fibonacci extensions.
A successful close and retest of the $0.028 level could signal further upside towards these targets.
4. Risk Management and Stop-Loss:
A stop-loss could be placed below $0.018 , which marks the most recent swing low. This provides a favorable risk/reward setup, with potential upside much greater than the downside risk.
Conclusion:
DAG/USDT is showing strong signs of a bullish reversal after breaking a key swing high and rebounding off the important support at $0.0216 .
Momentum indicators and lower-timeframe trends align with a potential recovery, with key targets at $0.053 and $0.095 .
What’s your next move with DAG/USDT ? Let’s discuss your strategies and potential setups below!
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