SAND Technical Analysis: Rejection in Sandbox Prices Projects Reversal
Table of contents
Key Technical Points:
Past Performance of SAND
During the early-June sell-off, the SAND holder lost the $1.27 support and plunged to a new 2022 low mark of $0.737. However, the coin price showcased a sharp recovery from this level and attempted to breach the flipped resistance of $1.27. Since last month, the coin chart showed several failed attempts to break this resistance, eventually revealing an ascending triangle pattern.
Source - Tradingview
SAND Technical Analysis
The higher low formation within this pattern reflected a gradual growth in bullish momentum, indicating the buyers are wrestling for trend control. As a result, on July 18th, the buyers gave a massive breakout from the $1.27 neckline, supported by a significant pump in volume. Today, the SAND price is 0.21% down, and the long-wick rejection attached to the daily candle may encourage a $1.27 retest.
The increased buying pressure last night influenced the MACD and signal lines to gain a bullish spread and drive the RSI slope to approach the overbought boundary. Hence the momentum indicators maintain a bullish bias, opposing the price action.
The market price sustains above the 50-day SMA (red) in the daily chart but struggles to exceed the 100-day SMA.
In a nutshell, SAND technical analysis suggests the traders wait for the price action confirmation.
Upcoming Trend
If the expected retest sustains above the $1.27 support, the buyers will acquire a stable footing to carry this recovery forward. The triangle pattern breakout should lead the coin price to the $1.8 mark per the technical setup.
Conversely, if buyers fail to sustain this breakout, the SAND price may witness a significant correction, possibly to the $1 psychological mark.
Resistance Levels: $1 and $1.20
Support Levels: $0.80 and $0.67