KAVA Technical Analysis: Will The Breakout Rally Sustain Above $2?

Key technical points: 

Past Performance of KAVA

The KAVA prices took a bullish turnaround from $1.50 with lower price rejection candles to reach the psychological mark of $2. However, the buyers failed to exceed the high supply region resulting in a higher low formation generating a support train line to form an ascending triangle pattern. Moreover, the recent bullish reversal from the support trendline breaks above the 50-day SMA and the $2 mark resulting in the breakout rally.

Source- Tradingview

KAVA Technical Analysis 

The KAVA daily candle shows higher price rejection above the $2 mark bringing the question of uptrend sustainability as the overall market corrects. Hence traders eager to ride the breakout rally must wait for the price action confirmation.

As the market value breaks above the 50-day SMA, the breakout rally eyes the 100-day SMA as the next milestone. Moreover, the breakout rally increases the bullish influence over the 50-day SMA resulting in a positive turnaround.

The RSI slope shows a positive trend above the halfway line, with the 14-day SMA mimicking the uptrend. Furthermore, the MACD indicator shows A positive trend in the MACD histograms resulting in an increased bullish spread between the fast and slow lines.

In a nutshell, the KAVA Technical Analysis Conclude is an overall increase in buying pressure which may shortly fuel the breakout rally.

Upcoming Trend 

If the daily candle closes above the $2 mark, the bullish breakout rally will skyrocket the KAVA prices significantly. Traders can expect the uptrend to hit the overhead resistance of $2.25 or even the 100-day SMA at $2.40 in the best-case scenario. Conversely, a bullish failure to sustain above the $2 mark will result in a retracement to the support trendline or the 50 Day SMA at $1.78

Resistance Levels: $2.25  and $2.40

Support Levels: $1.78 and $1.50