DAI Technical Analysis: Price Is Below the First Fibonacci Pivot Resistance Level of $1
DAI is a decentralized stablecoin that can be used by anyone, anywhere, anytime. It is the native token of the MakerDao network that aims at stabilizing prices and minimizing price fluctuations. This network is powered by smart contracts and provides a robust platform for building new decentralized apps. The DAI technical analysis is as follows:
On Jun 2, 2021, DAI opened at $1. On Jun 8, 2021, DAI closed at $1. Thus, in the past week, there has been no change in the DAI price. In the last 24 hours, DAI has traded between $0.99-$1.
Day-Ahead and Tomorrow
Currently, DAI is trading at $1.1. The price has moved from slight fluctuations to show trades happening in the coin. Thus, there are equal buying and selling pressures in the market.
The MACD and signal lines have turned negative. Moreover, a bearish crossover by the MACD line over the signal line has occurred. Thus, the overall market momentum has turned bearish. Hence, we can expect the DAI price to start falling.
Currently, the RSI indicator is at 41%. It faced rejection at 45% and fell to the current level. Thus, selling pressures are high. The RSI oscillator is giving further credence to the bearish momentum indicated by the MACD oscillator.
Besides, the OBV indicator is gradually falling too. Thus, selling volumes are slowly overtaking buying volumes. High selling activity will exert downward pressure on the DAI price. In short, all three oscillators have given negative signals.
DAI Technical Analysis
Currently, the price is below the first Fibonacci pivot resistance level of $1. The price may soon fall below the Fibonacci pivot point of $0.99. If the bears remain strong, the price may fall below the third Fibonacci pivot support level of $.987 as well till day close.
The price is soon likely to test and fall below the 76.4% FIB retracement level of $0.998. In some time, it may fall below the 61.8% FIB retracement level of $0.996 as well. Thus, as of now, the bearish trend is strong and likely to sustain till tomorrow.
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