BeInNews Academy Ltd © Street: Suite 1701 – 02A, 17/F, 625 King’s Road, North Point. Hong Kong.
On September 6, 2019, theprice reached a low of 1572 satoshis. An upward move followed. BAT reached a high of 1772 satoshis on September 10. After a brief decrease, it reached similar levels on September 12 and 17.
Will BAT finally be successful in breaking out above the 1750 resistance level? Continue reading below if you are interested in finding out.
For our previous analysis, click here.
A look at the daily chart provides the first signs of bullish sentiment for BAT.
On September 10 and 12, the BAT price created long upper wicks once it reached the 1750 level. This is a sign of selling pressure.
However, on September 16, the bullish engulfing candle closed at 1744 satoshis, well within the resistance of the upper wicks. This can be read as a dissipation of selling pressure.
Afterward, it would be customary for the price to rapidly break out above this resistance area.
Let’s take a look at technical indicators to see if that is likely.
Looking at the daily moving averages (MA) we can see that BAT is well on its way to confirming an uptrend.
The Basic Attention Token price is trading above its 10- and 20-day MAs.
Additionally, it has reached a price close and has found support above the 20-period MA.
If a bullish cross between the aforementioned MAs were to occur, it would act as confirmation that the uptrend has begun.
Looking at the hourly chart we can see that the price is, possibly, following a short-term ascending support line.
Additionally, we can see that the current resistance area of 1750 previously acted as strong support throughout the end of August.
This reinforces its significance as a strong resistance area.
In the future, we believe the BAT price will break out above this resistance area.
Afterward, it is likely to head towards the second resistance area at 1900 satoshis.
The Basic Attention Token price has shown several bullish signs.
According to our analysis, it is likely to break out of the current resistance and reach the next resistance area at 1900 satoshis.
For hypothetical trading purposes, we consider BAT a buy at prices around 1700 satoshis.
Do you think Basic Attention Token will break out of the resistance area? Let us know in the comments below.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
Images are courtesy of Shutterstock, TradingView.
▶️ Do you need trading guidance during this Coronavirus outbreak? BeInCrypto is here to help! Join our Telegram Trading Community for Market Updates, exclusive Trading Signals and a FREE Trading Course! Images courtesy of Shutterstock, Trading View and Twitter.