STX Technical Analysis: Bullish Failure Hints 18% Downfall

Key technical points:

Past Performance of STX

STX prices showcase a bullish reversal from the $0.45 mark after a 70% downfall last month, increasing the bearish influence on the EMAs. However, the bullish reversal formed a double bottom pattern resulting in a retracement to $0.60, but the buyers failed to surpass the long-coming resistance trendline.

Source-Tradingview

STX Technical Analysis 

STX price action shows a failed bullish breakout due to the high supply pressure near the resistance trendline. Therefore, the possibility of a downfall of $0.45 increases drastically as the selling pressure grows.

The crucial daily EMAs indicate an inclination to decline in a bearish trend which demonstrates the force of the bearish foundation.

The RSI values suddenly shift away from the oversold zone but fail to sustain the uptrend. This starts a retracement to the 14-day average line before getting to the mid-point. Moreover, the Stochastic indicator's optimistic outlook isn't confirmed because the D and K lines end the bullish spread. They also suggest a bearish crossover to exit the overbought zone shortly.

In short, the STX technical indicator displays a higher chance that the market value will fall drastically in the upcoming sessions.

Upcoming Trend

The failed bullish attempts to inflate the STX prices above the resistance trendline warn of a downward trend below the $0.45 mark. The fallout rally could be able to reach $0.40, which is a decrease of 10% in this scenario.

Support Levels: $0.45 and $0.40

Resistance Levels: $0.60 and $0.80