On the HMSTR/USDT chart, we can see a clear downward channel forming after a sharp price jump. With the current technical indicators, the following key points can be highlighted:
Parabolic SAR: The Parabolic SAR (with dots above the price) continues to signal a bearish trend, indicating that the price will continue to fall in the short term. This is an important point for those traders who focus on short-term movements.
Ichimoku Indicator: The Ichimoku Cloud shows that the price is below the cloud, further confirming the downtrend. Although the green line (Chikou Span) is trending in the direction of the price, a breakout of the cloud in the coming days seems unlikely without additional volume and momentum.
Trading Volumes: Against the backdrop of a significant price decline, trading volumes are noticeably reduced, indicating weak interest from bulls and possible continued pressure from sellers. At this stage, the asset is demonstrating a decline of more than 50% from the previous price level.
Important support and resistance levels:
The support level at 0.006190 was tested earlier and if the bears manage to break it, we may see further decline.
The resistance level is located around 0.006978, which coincides with the upper border of the Ichimoku cloud. A breakout of this level will open the way for a short-term price increase.
Current consolidation: The price is in a sideways range, which can be characterized as a consolidation phase after a significant decline. This may be a sign that the asset is either preparing for a new upward impulse, or the bears will finally take control and push the price below current levels.
Price targets:
In the case of a bearish scenario and a breakout of support at 0.006190, a possible decline could reach around 0.003112, which would correspond to a 50% drop.
In case of a bullish scenario and a breakout of resistance at 0.006978, a target at 0.007817 is possible with an increase of around 28-39%.
🤖 Conclusion: The HMSTR/USDT asset is currently in a correction phase, with strong bearish pressure. For those planning long-term positions, it is worth closely monitoring the support level of 0.006190, as a breakout of this level can lead to a significant drop. For short-term traders, speculative growth is possible upon a breakout of resistance at 0.006978, which can be used for short-term trades. 🐕📉
