DASH Technical Analysis: Bullish Pattern Clears Out Bearish Clouds
Table of contents
Key technical points:
Past Performance of DASH
The DASH/USD technical chart shows an uncontrollable bearish trend after the breakout of the $85 mark. However, the psychological mark of $50 helped sustain the downfall and end the downtrend with a double bottom pattern forming during the consolidation at the demand zone.
Source-Tradingview
DASH Technical Analysis
The recent surge in buying pressure inflates the DASH market value by 8.61% in the last 24 hours and challenges the neckline at $63. Hence, the neckline breakout will illuminate a buying spot and increase the number of breakout traders going long.
The long-term downtrend of the last few months has led the EMAs to achieve an inverse alignment with the 50 EMA, which provided the dynamic resistance. But, the recent rally is breaking the opposition and more evidence for the reversal idea.
The RSI rises above the oversold line to reach the overbought area after a long consolidating movement. Additionally, the increase in the underlying bullishness is greater than even the 14-day SMA line, increasing the probability of a breakout bullish.
The Stochastic indicator shows the K line approaching the D line and warns of a merger following the successful bull cycle entering the overbought region. Thus, the indicator indicates an increased chance of reversal and opposes that RSI signal.
In the end, DASH buyers have to wait for price action confirmation in order to stay clear of traps within the chart.
Upcoming Trend
As the demand grows for altcoins with the market recovery, the possibility of DASH trading volume growing to support the pattern breakout increases gradually. The breakout traders can find the rally reaching the $85 mark if it surpasses $70.
Support Levels: $50 and $40
Resistance Levels: $70 and $85