THETA Technical Analysis: Trapped Momentum Caps, Teases Breakout

Key technical points:

Past Performance of THETA

THETA coin price has been trending lower under the highly influential resistance trendline resulting in the downfall of 70% from the inception. Furthermore, the 50-day EMA moves along with the resistance trendline, crushing multiple bullish attempts in the last few months. The price action fills the descending triangle pattern and hints of a breakout shortly.

Source-Tradingview

THETA Technical Analysis 

THETA coin price continues to trend lower as it approaches the $2.56 support level. Moreover, the rising selling pressure evident by the higher price rejection hints of a bearish fallout that could break $2 to reach the $1.75 mark.

The constant rejection from the 50-day EMA after the death cross promotes the lower high formation with the increasing possibility of $2.56 fallout. However, on the opposite end, the breakout of 50-day EMA could initiate a price jump to the 200-day EMA accounting for a 40% jump. 

RSI Indicator: The RSI slope continues a slightly bearish but falt trend near the 50% line with the zig-zag moving 14-day SMA. Hence, the indicator remains neutral despite the weak bullish divergence present in the last two dips. 

MACD Indicator: The MACD and signal lines are merged below the zero line and continue the sideways trend. Furthermore, the histograms barely showcase a trend. Hence, the MACD indicator remains indecisive of the upcoming trend. 

In a nutshell, THETA technical analysis paints a slightly bearish image with the possibility of the $2.56 breakout.

Upcoming Trend 

THETA coin price could reach $1.75 with the psychological level breakout at $2 as the selling pressure grows. However, closing above the resistance trendline will nullify the bullish thesis and could result in a bullish reversal to the $4.5 mark. 

Support Levels: $2.5 and $1.75

Resistance Levels: $3.8 and $4.5