Dash Price Technical Analysis – Flag Pattern

Key Highlights

  • Dash price moved back lower once again and looks set for a retest of the last low of 0.0111BTC.
  • There is a flag pattern formed on the hourly chart, which might cause a break in the near term.
  • The price is below the 100 hourly moving average, signaling more losses ahead.

Dash price after spiking higher found resistance around 0.0121BTC and traded lower one more time.

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Retest of lows?

We highlighted in yesterday’s post that the Dash price moved above the 100 hourly simple moving average, but the move was not convincing. As a result, there was a downside reaction noted, which was also due sellers appearing around 0.0121BTC and defending the upside. The price has now settled below the 100 hourly SMA, which is a negative sign and might encourage sellers to take the price further lower.

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If the price corrects higher from the current levels, then an initial hurdle can be seen around the 23.6% Fib retracement level of the last drop from 0.0121BTC to 0.0114BTC. Currently, there is a flag pattern formed on the hourly chart, which is likely to act as a catalyst for the next move. The upper trend line of the highlighted pattern is coinciding with the 100 hourly SMA and the 23.6% Fib level. So, it would take a lot of strength from buyers to break the highlighted resistance area. A break above the 100 SMA could push the price towards the next barrier, which is around 0.0115BTC.

On the downside, the flag support area holds the key in the short term. A break below it could ignite a move towards the last swing low of 0.0111BTC.

Intraday Support Level – 0.0114BTC

Intraday Resistance Level – 0.0115TC

The hourly RSI and MACD are in the negative zone, suggesting more losses moving ahead.

Charts courtesy of Trading View

Source

TheBitcoinNews.com – leading Bitcoin News source since 2012