EGLD Sustains Bullish Trend With Bounce at Long-Term Support

Share Article
In Brief
  • EGLD is following a long-term ascending support line.

  • Daily time-frame indicators are bullish.

  • It is following a short-term descending resistance line.

  • 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.

Elrond (EGLD) has validated a long-term ascending support line that has been in place since November 2020. 

Sponsored



Sponsored

Technical indicators support the continuation of the upward movement. An increase above $125 would confirm the bullish trend.

EGLD bounces at long-term support line

EGLD has been moving downwards since it reached an all-time high price of $245.8, on April 12. The decrease culminated with a low of $65.95, reached on May 23. 

Sponsored



Sponsored

The decrease served to validate a long-term ascending support line. This is the sixth touch of this line, which has been in place since November 2020. 

Technical indicators are giving bullish signs. The RSI has generated bullish divergence and the Stochastic oscillator has made a bullish cross. Furthermore, the MACD is moving upwards. As long as the line is in place, the trend can be considered bullish. 

Chart by TradingView

Future movement

The shorter-term six-hour chart shows a descending resistance line in place, since the aforementioned all-time high price. Currently, it is near $155. 

While the bounce and presence of the long-term support line are both bullish signs, the price movement has yet to confirm that the correction is complete. An increase above the $125 low (red line) would confirm that this was a completed A-B-C corrective structure, instead of it being a bearish impulse.

The short-term MACD and RSI support the creation of this upward movement, the latter having just crossed above 50.

Chart by TradingView

EGLD/BTC

Cryptocurrency trader @CryptoNTez outlined an EGLD/BTC chart, stating that the token has bounced at support.

Source: Twitter

EGLD/BTC has indeed bounced at the long-term support area at ₿0.00225. The area previously acted as resistance on June 2020. Therefore, the current decrease can be seen as a bullish re-test. 

Furthermore, the weekly RSI has generated hidden bullish divergence, a strong sign of trend continuation. 

Thus, the long-term trend can be considered bullish.

Chart by TradingView

For BeInCrypto’s latest bitcoin (BTC) analysis, click here.

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!