Algorand is a blockchain platform that facilitates the development of innovative financial products. It aims to achieve an amalgamation between decentralized and conventional finance. It also allows users to build and develop Non-Fungible Tokens, stablecoins, and digital assets. ALGO is the native token of this network and its technical analysis is as follows:
On May 22, 2021, ALGO started trading at $0.98. On May 28, 2021, ALGO closed at $0.90. Thus, in the past week, the ALGO price has decreased by roughly 8%. In the last 24 hours, ALGO has traded between $0.90-$0.93.
Day-Ahead and Tomorrow
Currently, ALGO is trading at $0.92. The price has decreased from the day’s opening price of $0.90. Thus, the market seems bearish.
The MACD and signal lines have turned positive. Moreover, a bullish crossover by the MACD line over the signal line has occurred. Thus, the overall market momentum is bullish. Hence, we can expect the price to start rising.
Currently, the RSI indicator is at 58%. It faced rejection at 72% and fell to this level. Thus, selling pressures are slowly overtaking the buying pressures. Hence, a price pullback may occur.
Besides, the OBV indicator has started rising steadily. This implies that buying volumes are slowly mounting. High buying activity will push the price upwards.
In a nutshell, when we look at all three indicators the overall price trend seems bullish, but intermittent price pullbacks may occur as a part of the price adjustment process.
ALGO Technical Analysis
Currently, the price is above the Fibonacci pivot point of $0.91. It may soon surpass the first resistance level of $0.92. If the bulls remain strong for some more time, then probably the price may break out of the subsequent resistance levels of $0.93 and $0.94, respectively.
The price has tested and broken out of the 50% FIB retracement level of $0.915. It may soon surpass the 38.2% FIB retracement level of $0.92. Thus, as of now, the price uptrend is strong and likely to continue today and tomorrow.