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ConstitutionDAOâs native token, PEOPLE, has been making waves in the crypto market recently, and itâs clear that this community-driven project is not going unnoticed. If youâve been tracking this coin, you know that it's had quite an impressive run. But, what does the chart tell us about PEOPLEâs next move? Is this the beginning of a bigger rally, or are we due for a retracement? Letâs break it down.
Price Action: The Rise and the Pullback
PEOPLE has seen strong bullish momentum over the past few days. Looking at the 1-hour chart, we see that the price recently touched a high of $0.090, only to retrace slightly to its current level of $0.08375. While this small pullback may have some traders concerned, the overall trend still looks positive, and this could be a healthy consolidation before another push higher. đ
The pullback weâre witnessing isnât out of the ordinary. After a rapid price increase, itâs common to see some profit-taking. The big question is whether the bulls will step in at key support levels to fuel the next leg up. So, where are these support and resistance zones? Letâs dive into the details. đ
Key Moving Averages: Holding Steady
The 7-period moving average (MA) is currently acting as near-term support at $0.08376. If this level holds, it could be the foundation for another rally. Just below that, the 25-period MA at $0.08072 offers additional support, providing a cushion for the price if we see more selling pressure.
However, if the price drops below these levels, the 99-period MA at $0.07215 would be the next major support level. The trend remains bullish as long as we stay above these moving averages, with buyers likely stepping in to defend these key zones. đ
MACD: Showing Continued Momentum
Turning to the MACD (Moving Average Convergence Divergence), we see a slight uptick in bullish momentum. The MACD line is currently sitting just above the signal line, with a positive value of 0.00219 against the signal line at 0.00208. This suggests that while the rally has cooled off a bit, weâre still in positive territory.
The MACD histogram is showing minimal negative divergence, which could indicate that the correction phase is temporary. If the MACD line continues to climb above the signal line, it could confirm a continuation of the upward trend. Traders should keep a close eye on this indicator over the next few hours.
Support and Resistance Levels: Key Zones to Watch
- Resistance: The next key resistance level is the recent high of $0.090. If PEOPLE can break through this level, we could see it push higher to test the $0.095 or even $0.10 psychological level.
- Support: On the downside, watch the $0.08376 level (7-period MA) as immediate support. If this fails, the $0.08072 and $0.07215 levels (25-period and 99-period MAs) should provide stronger support.
A close below the $0.07215 support zone would be bearish and could signal further downside, potentially pushing PEOPLE back to the $0.065 range. But for now, the bulls seem to be in control.
Volume: Still Healthy, But Watch for a Spike
Volume is another critical factor in sustaining a rally. The Volume SMA (Simple Moving Average) currently sits at 41.309M, which is strong but has tapered off slightly since the initial breakout. A spike in volume at these support levels could reignite the rally, while a drop-off in volume might signal that traders are losing interest, leading to further consolidation.
To maintain the bullish momentum, we need to see buyers come back in at these key support levels with strong volume. Without this, the price could continue to drift lower.
Recent Developments: Whatâs Driving PEOPLE?
ConstitutionDAOâs PEOPLE token has benefited from broader market movements and speculative interest. While the original goal of the DAO (purchasing a copy of the U.S. Constitution) didnât materialize, the community has remained active. Speculative trading on Binance has been a major driver for the recent price action, as traders look to capitalize on the meme potential and community spirit surrounding PEOPLE. đ
Despite no significant recent news from the project, the technical setup and market sentiment have pushed PEOPLE higher. The question now is whether this community can keep the momentum going.
What Should Traders Do Next?
For short-term traders, the focus should be on the $0.08376 support level. If the price bounces here and volume picks up, it could offer an opportunity for a quick trade back toward the $0.090 resistance level. Consider setting stop-losses just below the 25-period MA ($0.08072) to protect against further downside risk.
If PEOPLE breaks above $0.090, there could be room to run higher, possibly towards $0.095 or even $0.10. But be cautious of further pullbacks, especially if the MACD starts to show weakness.
For long-term investors, this could be a good time to accumulate more PEOPLE, especially if the price tests the 99-period MA ($0.07215). This level would likely offer a better risk/reward entry point for those looking to hold through short-term volatility. If the fundamentals of ConstitutionDAO align with your investment strategy, consider buying on dips and holding for the long term.
Conclusion: PEOPLEâs RallyâJust Getting Started or Time to Take Profits?
PEOPLE has seen impressive gains in the last few days, and while thereâs been a slight pullback, the technical indicators suggest the rally isnât over just yet. As long as key support levels hold, thereâs potential for another move higher, especially if we see volume pick up again. But traders should stay cautious, keeping an eye on the MACD and support levels to avoid getting caught in a deeper correction.
So, whatâs your strategy for PEOPLE? Are you buying the dip, or do you think itâs time to lock in some profits? Let me know your thoughts in the comments below! And donât forget to hit the subscribe button for more insights on the hottest coins in the market! đ„đ
