The month of September is not looking good for WAVES as the coin has registered a bearish pattern. The market looks weak as WAVES slip below the key $4.6 level.
- The Crypto market seems depressed for WAVES
- WAVES key support will retest the $4.3 zone.
- OBV shows that sales volume is weak
Bitcoin, the king of cryptos, climbed to $19.8k, allowing the bears to retreat and the bulls to fill in.
If Bitcoin nosedive below $19k, this would inevitably drag other cryptocurrencies down with it.
On the other hand, WAVES has shown some improvement in the last couple of days as it fell above the $4 zone.
Waves is a multi-purpose blockchain platform that supports a variety of use cases, including decentralized applications and smart contracts.
The blockchain platform’s native token is WAVES, an uncapped supply coin used for payments such as block rewards.
$4.3 has been revisited as a key resistance zone.
Based on the 4-hour chart, WAVES has recovered following a recent correction and jumped to the $4.3 level.
In the coming days, the price of WAVES will be seen to bounce back in the $4.5-$4.6 range. A few days ago, the key support at $4.3 was revisited as a key resistance zone.
Earlier, the price dropped below $4 again. On the 1-hour chart, it retreated again following the recent barrier or returned to the $4.3 level.
Price on higher timeframes appears to be more bearish than bullish. Additionally, as noted over the past few weeks, the market is now tilted toward the sellers.
WAVES was planning to hit the $4.3 mark a few days ago but was blocked and pushed to the $3.9 mark instead.
That being said, going long at the $4.02 support level would not be a wise move, especially with the risks.
As the token failed to hold on to the $4 zone, this gave the bears enough traction to maintain their dominance. Additionally, he predicts a potential sell-off after a retest of the $4 mark.
WAVES RSI falls below 50
according to CoinMarketCapWAVES price increased by 2.53% or trade at $4.01 as of press time.
Fibonacci retracement levels in the $4.0 and $4.09 range could hamper buyers’ willingness to load on gas from a price perspective.
When the token’s relative strength index crosses below 50, bearish momentum is seen to further strengthen confirmation.
Also, the CMF is seen below the -0.06 level indicating rapid loss of capital. In relative terms, the token seems to be pointing to a weaker sell-off as seen in the past few days. Additionally, OBV shows that there is no sign of a sharp pullback.
It is seen that the price has fallen below the $4 mark. A pause was seen at the $3.94 level, which means a retest at the $4 mark could indicate a selling opportunity.
Crypto total market cap at $902 billion on the daily chart | Source: TradingView.com Featured image from The Coin Republic, Chart: TradingView.com (The analysis represents the author's personal views and should not be construed as investment advice).