OKB Technical Analysis: Struggle At Fib Level Warns Bearish Outcome

The OKB prices jump by 22% to create a bullish engulfing candle reaching the 50% Fibonacci level near the 200-day SMA. However, the selling pressure above the Fibonacci level and the opposing 50-day SMA warns of a bearish reversal. So, should you expect a bullish trend above the 50% Fibonacci level to reach $20, or a bearish reversal will drop the prices to $15?

Key Points:

Source - TradingView

OKB Technical Analysis

The OKB prices took a bearish turnaround from the $22 resistance level with an evening star pattern resulting in a price drop of 40% within 20 days to reach the $13.5 mark. However, the recent bullish engulfing candle with a 22% price jump comes to a 50% Fibonacci level at the $16.5 mark.

Furthermore, the increase in intraday trading volumes supports the bullish reversal as it exceeds the 200-day EMA. However, the higher price rejection from the 50-day EMA put the prices back under the 50% Fibonacci level displaying a power struggle at the 200-day EMA.

Hence the opposition from the 50-day EMA might push the market value back to the psychological mark of $15. However, if the buyers undermine the higher price rejection, an uptrend continuation will hit the psychological mark of $20.

Technical Indicators

The daily-RSI slope spikes to the halfway line from the oversold zone reflect a phenomenal increase in the underlying buying pressure.

The fast and slow lines give a bullish crossover restarting the bullish histograms trend, teasing a potential uptrend continuation in the OKB prices.

Hence the technical indicators maintain a buy signal despite a higher price rejection in the daily candle.

Resistance Levels - $18 and $20

Support Levels - $15 and $13