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- Helium shows a buy signal near $3.21, indicating a potential shift in market direction.
- The $3.00–$3.50 range serves as a strong support zone based on past price movements.
- A move above $5.00 may spark a rally, while a drop below $3.10 could trigger losses.
Helium ($HNT) has drawn attention in the crypto community after Ali Charts, an analyst on the X platform, highlighted a technical setup. According to his post, $HNT is testing a support level on its 3-day chart, with the TD Sequential indicator flashing a buy signal. This signal appears precisely at the $3.21 mark, coinciding with the lower boundary of a parallel channel—a scenario that traders interpreted as a potential precursor to a bullish move.
The token’s performance has been anything but steady, dropping from a March 2024 high of $12.00 to its current range of $3.00–$3.50. However, as per Ali Charts’ analysis, this zone represents a historical support level, making it a crucial area for traders and investors to monitor.
Decoding the TD Sequential Buy Signal
The buy signal from the TD Sequential indicator, a favorite among seasoned technical analysts, underscores the possibility of a reversal. This tool is particularly adept at identifying trend exhaustion, and in the past, it has signaled pivots in Helium’s price trajectory. For example, a similar “9” buy signal in May 2024 was followed by a strong rally, pushing $HNT from around $3.00 to highs of $8.00 within weeks.
The current setup gains additional credibility due to its alignment with the lower boundary of a parallel channel, as seen in the chart. This confluence strengthens the bullish thesis, offering traders an attractive risk-to-reward opportunity. Ali Charts’ observations indicate a likely bounce, provided the $3.10 support level holds firm.
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The $3.10–$3.50 Support Zone: A Pivotal Battlefield
The $3.10–$3.50 range, marked on the chart, has proven its significance in Helium’s price history. During past market cycles, this zone has repeatedly acted as a springboard, propelling $HNT toward higher levels. The current test of this range follows a downtrend, marked by declining highs and lows. Traders are now keenly observing whether this historical support will once again act as a launchpad for a potential rebound.
On the upside, key resistance levels include $5.50–$9.50, with a breakout beyond this range opening the door to $8.00 and potentially $12.00. Conversely, failure to hold the $3.10 level could expose $HNT to further downside risk, with the following support zone sitting near $2.50.