WAVES Technical Analysis: Bearish Takeover Preps $5.70 Breakout 

Key technical points:

Past Performance of WAVES

WAVES prices are highly influenced by the broader price movements of the cryptocurrency market, as selling pressure is increasing drastically. Over the past six weeks, the market value has dropped around 90% as the prices dropped from $54 to $5.80.

Source-Tradingview

WAVES Technical Analysis 

When the bearish retracement hits the resistance level, the wave price indicates a downward trend in the volume of trading. This increases the probability that a bottom will double, and offers a bullish reversal chance.

In the wake of the recent bearish crossover between the EMAs 100 and 200 the crucial EMAs 50, 100, and 200-days continue to show a downward trend and reach bearish alignment.

In the case of momentum indicators, RSI levels continue to decline and then plunge into the oversold zone before testing the 14-day SMA that acts as a dynamic resistance. Moreover, the RSI slope suggests positive divergence during the two previous dips, signaling a possible trend reversal.

The decreasing bearish spread is a reflection of the growing bullish impact in both the MACD and signal lines. This means that traders could expect to see a bullish crossover in near future, which could signal that there is a trend change.

In short, the WAVES technical analysis projects a bearish takeover and warns of a downfall.

Upcoming Trend

Prices for WAVES are currently at around $5.80, which suggests selling has taken over the market trend. Moreover, the ongoing downtrend continues to gain momentum and is on the verge of breaking the low of $5.70. This will create a domino effect and degrade the market value by 30%. 

Support Levels: $5.15 and $3.35

Resistance Levels: $7.30 and $8.30