BAL’s Breakout Could Pave the Way for Higher Prices

Share Article
In Brief
  • BAL has broken out from long and a short-term descending resistance line.

  • Daily technical indicators are bullish.

  • There is resistance and support at $14.50 and $12.15.

  • promo

    BIT Launchpad: Up To 3,500 FREE BIT. Don’t Miss The Beat. Join Now!

The Trust Project is an international consortium of news organizations building standards of transparency.

The Balancer (BAL) price has broken out from both a long and short-term descending resistance line.

Sponsored



Sponsored

The breakout from the former is significant, and when coupled with the bullish readings from technical indicators, it suggests that an upward move is likely.

Long-Term Levels

The daily chart shows that BAL had been following a descending resistance line since Sept. 13. After two unsuccessful breakout attempts, it finally moved above this line on Dec 28. Currently, it’s in the process of falling, validating the line as support.

Sponsored



Sponsored

Technical indicators are bullish, supporting the possibility that BAL will move upwards towards the next closest resistance area at $18.

BAL Chart By TradingView

Cryptocurrency trader @mesawine1 stated that the BAL price could rally all the way to $18 if it breaks out above this long-term descending resistance line.

The line and area coincide with those we have outlined. Technical indicators are bullish, supporting the possibility of a breakout.

Source: Twitter

Breakout From Resistance

The shorter-term six-hour chart shows that BAL has been moving upwards since Nov. 4, when it reached a low of $8.37. The rally continued until it reached a high of $18.27 on Nov. 22. BAL has been falling alongside a descending resistance line since then.

After two deviations below the $12.15 support area (0.618 Fib retracement), BAL began an upward move that caused a breakout above this resistance line.

Currently, BAL is in the process of validating this descending resistance line as support. If it manages to increase above the $14.50 minor resistance area, it’s likely to make another attempt to move above $18.

 
BAL Chart By TradingView

Even lower time-frames such as the one-hour support this, since they show that:

  • BAL has been following an ascending support line over the past week.
  • It has completed an S/R flip near $13.20.

Therefore, it should soon move above the minor $14.50 area and increase at an accelerated rate towards $18.

BAL Chart By TradingView

Conclusion

To conclude, the BAL trend is bullish after a breakout from the long-term descending resistance line.

Technical indicators and the price action support a continued rally towards $18, with the rate of increase likely to accelerate above $14.50.

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here!

Disclaimer: Cryptocurrency trading carries a high level of risk and may not be suitable for all investors. The views expressed in this article do not reflect those of BeInCrypto.

Disclaimer

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.
Sponsored
Share Article

Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona graduate school of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst.

Follow Author

Market signals, studies and analysis! Join our Telegram Today!

Go

Bit2Me ICO JUST STARTED! Buy B2M token now.

Buy now!

BIT Launchpad: Up To 3,500 FREE BIT. Don't Miss The Beat.

Join Now!