My Technical Analysis.
General Trend:
On the daily chart, the price has been on a marked downward trend since mid-year, with some temporary consolidations and bounces.
The price is currently in a consolidation phase after a prolonged decline, which may indicate a possible accumulation or distribution before a significant move.
Key Levels:
Resistance: 0.00001000 – This level is crucial as it previously acted as support before being broken. It is likely to act as resistance if the price attempts to move higher.
Support: 0.00000700 – This level has acted as a key floor on several occasions, providing support during pullbacks.
Accumulation Zone: Between 0.00000850 and 0.00000900 - The price has been oscillating in this zone, showing indecision.
Let's go with a Bullish Scenario
Entry Points:
Conservative Entry: Wait for a clear break above the resistance at 0.00001000 with strong volume. This would confirm the validity of the bullish move.
Aggressive Entry: If the price holds in the 0.00000900 zone and shows signs of bearish rejection (e.g. reversal candles), you might consider an early entry.
Departure Points:
First target: 0.00001100 - A round psychological level close to previous peaks.
Second target: 0.00001250 - Previous resistance zone that, if overcome, could generate a greater impulse.
Stop loss: Below 0.00000850 to limit risk in case the bullish scenario does not materialize.
Let's now look at a Bearish Scenario
Entry Points:
Conservative Entry: Wait for a break below 0.00000800 with volume. This would indicate that sellers have gained strength and the price could continue to fall.
Aggressive Entry: If the price tries to approach 0.00001000 and shows signs of weakness (e.g. bearish reversal candles), you could open a short position near that level.
Departure Points:
First Target: 0.00000750 – An intermediate support level where price could pause.
Second Target: 0.00000650 – Previous lows observed, suggesting a stronger support level.
Stop loss: Just above 0.00000900, to protect yourself in case the price bounces.
Additional indicators to take into account
Moving Average (MA):
The short-term moving averages show that the price is struggling to break above the short-term resistances. A bullish crossover between MA(7) and MA(25) could indicate bullish momentum. Conversely, if the MA(7) crosses below the MA(25), it is a bearish signal.
Volume:
Monitor volume spikes during breakouts. Increasing volume during a resistance or support breakout would confirm the validity of the move.
My final thoughts
Bullish Scenario: The key will be to see if the price can break and sustain above 0.00001000 with good volume.
Bearish Scenario: If the support at 0.00000800 breaks, we could see further declines towards 0.00000700 or lower.
This technical analysis is a guide based on the key levels visible on the chart provided (see above). It is always important to continue managing risk and update the analysis based on new movements in price and volume.
