Graphic Analysis
1. Target and Prices:
• With the upward channel breakout, the price can be expected to rise to the 10 USD level.
• If this upward movement continues, the 12-15 USD range may be tested in the medium term.
2. Support and Resistance Levels:
• Support:
• The 6.00 USD level appears to be a strong support.
• Further below, there is a critical support zone at 5.30 USD.
• Resistance:
• The first resistance point is around 7.20 USD.
• The main resistance is at 10 USD.
3. Indicators:
• RSI (Relative Strength Index):
• It is moving towards the overbought region, which may indicate that profit taking may occur in the short term.
• Moving Averages:
• The 50-day moving average has broken up, which is a positive sign.
• MACD:
• MACD is moving above the signal line and in the positive territory, which supports bullish momentum.
4. Formation and Formation Reversals:
• Descending Channel Breakout:
• The price has broken out of the descending trend channel to the upside. This is a sign of a trend reversal.
• Possible Formation:
• A “Flag Formation” formation towards the target area can be observed.
5. Trend Direction:
• The trend is upward.
• The previous downtrend appears to have ended and an uptrend may be beginning.
Strategy and Advice
1. Short Term Strategy:
• It would be safer to wait for the resistance levels to break before buying at current levels (e.g. a daily close above 7.20 USD).
• Stop-loss should be set below the 6.00 USD level.
2. Medium and Long Term Strategy:
• In the medium term, 10 USD can be targeted. If it stays above this level, an increase to 12-15 USD is possible.
• For long-term investment, buying opportunities at support levels can be evaluated.
3. Risk Management:
• Since the price is volatile, position size should be adjusted well.
• Stop-loss levels must be determined below the main supports.
Summary
This chart indicates bullish potential. However, resistance levels should be monitored for breakouts. In the short term, profit taking may occur, but the general trend is positive.