THETA Broke Out Above Significant Resistance [Premium Analysis]

The THETA price has increased by 44 percent since December 10, amounting to a rate of 5.50 percent per day. While this increase seems unsustainable in the long-term, the price has yet to show weakness. Trader @thecryptocatus stated that the THETA price could increase towards 1500-1600 satoshis before hitting resistance and decreasing.

$THETA could see one last push upwards to high 1500's before seeing signs of major resistance, 1600 has strong confluence with 24 MA so still my initial target.

Closing as soon as we see some signs of a trend reversal or lack of momentum at high 1500's, resistance incoming. pic.twitter.com/M7JDLlDPcb

— Cactus (@TheCryptoCactus) December 18, 2019

Will the THETA price reach this target? If yes, when will it do so? Continue reading below if you want to find out the answers to these questions.

Upward THETA Move

In June, the THETA price decreased to the support area of 950-1000 satoshis, which was an all-time low. It consolidated near this area until December — when it began an upward move. We suggested this move could transpire in our previous analysis. The rally stalled a bit at the 1400 satoshi area before moving higher. Currently, the THETA price is attempting to reach a weekly close above this resistance area. The next resistance area is found at 1800 satoshis. During the consolidation phase, the weekly RSI generated a strong bullish divergence. Afterward, a bullish cross in the MACD transpired — indicating that an upward move has begun. However, the MACD line has yet to cross above 0.

Technical Indicators

The THETA price began making attempts at initiating an upward move at the end of October. However, they were rejected three times by the 200-day moving average (MA). The price was finally successful in moving above this MA on December 13, albeit lacking strong volume. The 100- and 200-day MAs are close to making a bullish cross. The current daily candlestick is a bullish wick, which suggests indecision. However, while the RSI is at overbought levels, it has yet to generate bearish divergence. Therefore, it is possible that the upward move will continue since it has yet to show weakness.

Future Movement

The THETA price has been following a very steep ascending support line since December 10. If the price increases at the rate of the ascending support line, it will reach the second resistance area by the end of December. It is imperative that the THETA price reaches a daily close above 1400 satoshis if it wants to do so. To conclude, the THETA price is in the midst of an upward move. The price has moved above an important resistance area and has yet to show weakness. If it reaches a daily close above 1400 satoshis, it is likely to move towards the next resistance area at 1800 satoshis and reach it at the end of December.