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TL;DR Breakdown
- Algorand price analysis suggests a downwards movement to $0.3500
- The closest support level lies at $0.3800
- ALGO faces resistance at the $0.4024 mark
The Algorand price analysis shows that ALGO has been unable to climb past the $0.4200 mark and the following rejection caused the price to crash below the $0.4000 mark.
The broader cryptocurrency market observed a bearish market sentiment over the last 24-hours as most major cryptocurrencies record negative price movements. Major players include AVAX and SOL, observing a 7.41 and a 5.64 percent decline, respectively.
Algorand price analysis: ALGO falls below $0.3800
The MACD is currently bearish, as expressed in the red color of the histogram. Moreover, the indicator shows strong bearish momentum as observed in the high depth of the histogram. Furthermore, the indicator’s dark color suggests an increasing bearish momentum as the price action falls towards the $0.3750 mark.
The EMAs are currently trading close to the mean position as net price movement over the last five days remains low. However, as the ALGO market turns sharply bearish, the EMAs have started moving downwards, with the 12-EMA taking the lead. At press time, the 12-EMA is diverging sharply from the 26-EMA as selling activity increased in recent hours.
The RSI was trading in the neutral zone since 27 May as the price volatility for Algorand dwindled across the short-term charts. Currently. The indicator trades close to the oversold region at the 30.00 index unit level and hovers at 32.96. The indicator is currently moving downwards, showing pressure from the bearish side of the market. However, the indicator is still in the neutral, suggesting room for further downwards movement before a correction is needed.
The Bollinger Bands are narrow at the moment but show sharp divergence in recent hours as the price action breaks below the $0.3800 mark. Currently, the indicator’s bottom line provides support at the $0.3812 mark, while the mean line presents resistance at the $0.4024 mark.
Technical analyses for ALGO/USDT
Overall, the 4-hour Algorand price analysis issues a strong sell signal with 18 of the 26 major technical indicators supporting the bears. On the other hand, none of the indicators support the bulls showing little to no bullish presence in recent hours. At the same time, eight indicators sit on the fence and support neither side of the market.
The 24-hour Algorand price analysis shares this sentiment and also issues a sell signal with 15 indicators suggesting a downwards movement against only one indicator suggesting an upwards movement. The analysis reaffirms the bearish dominance across the mid-term charts while showing little to no buying pressure for the asset across the mid-term charts. Meanwhile, ten indicators remain neutral and do not issue any signals at press time.
What to expect from Algorand price analysis?
The Algorand price analysis shows that after being rejected at the $0.4200 mark, ALGO crashed to the $0.4000 mark, but the increasing selling pressure crushed the support level, and the price dropped to $0.3800. Currently, the price has fallen below that mark as the selling pressure continued to rise.
Traders can expect ALGO to observe further downward movement as the bearish pressure escalates. Furthermore, due to a lack of buying activity, strong downwards movement can be expected. This suggestion is reinforced by the mid-term technical analyses suggesting a drop to the $0.3500 level with a possible drop to the $0.3400 mark.