On Mar 26, 2019, the price of IOTA reached a low of $0.289. A gradual uptrend ensued.
Price increases accelerated on Apr 2 during a market-wide spike. A high of $0.383 was reached on Apr 3.
Prices subsequently dropped. There was a reversal on Apr 5. However, prices are still trading below the Apr 3 high.
Will the price of IOTA climb past its earlier high or will another downtrend ensue soon?
IOTA: Trends and Highlights For April 5, 2019.
- IOTA’s price has been on an upward trend since Mar 26.
- It is following an ascending support line
- The uptrend intensified on Apr 2.
- There has been bearish divergence developing in the RSI.
- There is resistance near $0.40.
The price of IOTA (IOTA) on Binance is analyzed in two-hour intervals from Mar 26 to Apr 5.
On Mar 26, the price made a low of $0.289. Several market cycles followed. Each high was higher than the last.
Tracing these lows gives us an ascending support line:
The price is not following a visible resistance line during this time frame. However, there is resistance visible on a shorter time frame.
Let’s take a look:
The price of IOTA (IOTA) on Binance is analyzed in thirty-minute intervals from Apr 4 to Apr 5.
On Apr 5, the price made a high of $0.356. It has created several higher highs since.
Tracing these highs gives us an ascending resistance line:
Will the price break out above this resistance?
Let’s take a look at some technical indicators to find out.
Combining RSI bullish/bearish divergence with support/resistance essentially predicts price fluctuations.
On Apr 5, the price made a high of $0.356. Since then, it has continued to increase.
Similarly, the RSI made the first high on Apr 5. However, it proceeded to generate lower values.
This is known as bearish divergence and often precedes price decreases.
To better assess possible future prices the price of IOTA (IOTA) on Binance is analyzed in two-hour intervals from Mar 26 to Apr 5. The short-term resistance is traced alongside long-term support.
A short-term horizontal channel is created:
Based on the previous prediction, we believe that IOTA may increase within this new channel but that prices will drop to the support line in the near future.
However, this should only be a short-term drop inside a longer, upward move even if the channel does not hold. The support line, after all, is still upward facing.
The price of IOTA (IOTA) on Binance is analyzed in one-day intervals from Dec 2018 to Apr 2019 to determine actual future price levels. We integrate resistance and support areas into the analysis to accomplish this.
The closest resistance area is found near $0.04. It is created by the highs of Jan 2019.
The price reached a high of $0.394 on Apr 2 within the resistance. However, these were wick highs, and IOTA quickly fell from these levels after reached.
It has yet to return to the resistance area again. However, according to our analysis, we believe that even if there are short-term losses, the price will eventually reach or exceed the $0.04 level.
Summary of Analysis
Based on this analysis, it is likely that the price of IOTA should drop towards the support line at $0.33 before rising toward the resistance area near $0.04.
Where do you think the price of IOTA is heading? Let us know your thoughts 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.