THETA Technical Analysis: Another Fall Wave Before The Reversal
Table of contents
However, there is a positive moment in this action. After the breakdown of $4.38 in mid-January, trading volumes in the THETA market increased significantly. Before this breakdown, such volumes in the weekly timeframe were rare and only in places of global price reversal. The increase in trading volumes at local highs indicates the probable beginning of a reversal of the fall. Though, are buyers ready to start active growth right now?
On the weekly timeframe, you can see an attempt by buyers to take control of the $4.38 range. The result is two weekly candles with pins up. In our opinion, buyers have not yet collected enough positions to start a new trend. Therefore, we expect another wave of correction with a global target of $2.13. The first price stop, which can be a turning point, is the mark of $2.78. When the THETA price will test this mark it is necessary to attentively follow the volumes and dynamics of sellers' aggression.
Technical Analysis Of THETA On The Daily Timeframe
Analyzing the price movement on the daily timeframe, we can see that buyers have lost control of their local trend line since 24 January. If buyers are not able to raise the price above $3,572 in the near future, a new fall wave will begin. An interesting fact is that sellers managed to break the trend line without much effort. The daily frame did not show any abnormal volumes and struggles other than a small daily candle.
Thus, the $2.78 test is a fairly natural correction. At this point, we see a 14-day consolidation, where THETA buyers are gaining positions for a new growth wave. If this consolidation persists - the trend is not over and the next target of buyers will be $4.38.
The THETABTC Price Has Not Completed Its Downward Trend Yet
According to the THETABTC price chart, we can write a book on working out-trend channels. The price moves strictly in the fall channel. Sellers are so in control of the situation that they do not even allow buyers to delay the upper trend line of the fall channel. The best that buyers are capable of at the moment is a test of the midline of the fall channel. Pay attention that each new fall wave begins after a false breakdown of the midline of the channel. In the liquidity zone of 0.00000648, there is a probability of the beginning of the reversal. Let's see if buyers will have the strength to maintain this important level.