KAVA Technical Analysis: Bulls Eye $5 With Breakout Intentions

Key technical points:

Past Performance of KAVA

KAVA coin price showcased a bullish rally from the $3 support level accounting for a jump of 50% jump within three weeks. However, the rally failed to surpass the barrier of $4.65 leading to a consolidation followed by a bearish breakout. The downtrend tested the 200-day EMA before reversing to reach the $4.65 mark with a bullish engulfing candlestick.

Source-Tradingview

KAVA Technical Analysis 

KAVA coin price gave a consolidation fallout near the $4.65 mark resulting in the 200-day EMA retest. The bulls regain the trend control with the morning star pattern with a bullish engulfing candlestick of 8.71% formed at the 200-day EMA.  

The bearish aligned EMAs in the daily chart feel the bullish pressure resulting in an upside reversal and increasing the chances of 50 and 100-day EMA. Moreover, the price sustaining above all the crucial EMAs increases the chances of bullish continuation. 

RSI Indicator: The RSI slope slipped through the overbought territory and cracked beneath the 14-day SMA during the consolidation fallout. However, the recent reversal brings the RSI into the overbought zone and tests the 14-day average.

MACD Indicator: The MACD and signal lines are merged after the recent fallout and are yet to showcase the effect of a bullish breakout. However, a resurgence in the bullish MACD histograms will indicate a buying opportunity.

In a nutshell, the KAVA technical analysis reflects the rise in underlying bullishness and highlights a breakout entry opportunity.

Upcoming Trend 

KAVA coin price breaks above the $4.65 mark and might shortly hit the $5 mark if the buying pressure persists. However, closing below the $4.60 level will nullify the bullish dogma and initiate a bearish move to the 200-day EMA.

Support Levels: $4.60 and $4

Resistance Levels: $5 and $5.65