Is Waves (WAVES) Surfing Towards a Winter Wipeout?

The WAVES token hit the market in mid-2016 and saw huge success beginning in early 2017 when the price went from $0.30 to an all time high of $21 nearing the end of December 2017 — a gain of 6,700 percent. The 2018 market wide bear market has sent the altcoin spiraling back for a total loss of 95 percent in just under one year. At the time of writing, there are 100 million WAVES in circulation — which are trading at $1.66 per token. Waves is currently ranked 32nd with a total market cap of $164 million.

Stochastic RSI

Taking a look at the 3-day and two-week stochastic RSI, the value has been slipping back towards the mid-range, currently at 60. In the past, WAVES has never bounced off of the 50 mark after falling from 100. This indicates that most likely the RSI will make its way down to the oversold territory between 0 and 20.

Winter Wipeout

Since reaching an all-time high in December 2017, WAVES has fallen back within a descending triangle, building horizontal supports along the way. Two weeks ago, the altcoin hit a 2018 low at $1.00 and immediately bounced 150 percent to briefly escape the descending resistance before collapsing back under the $1.80 support. Considering the downward moving stochastic RSI and WAVES’ position directly beneath the descending resistance, it is most likely that the price will return to the range of $1.00 to $1.25 to establish a new support. Depending on the state of the market in Q1 of 2019, there is a good chance that WAVES will test an even lower support at the beginning of Q2. [bctt tweet=”WAVES is a risky buy, coming hot off the heels of a pump and sitting directly beneath the descending resistance. ” username=”beincrypto”] Traders should be cautious with entering a position at this point and should wait for confirmation of a new horizontal support before making a move. Do you think WAVES will dip back below the $1.00 support in 2019? Will WAVES see a new all-time high next year? Let us know your thoughts in the comments below!  Disclaimer: The contents of this article are not intended as financial advice, and should not be taken as such. BeInCrypto and the author are not responsible for any financial gains or losses made after reading this article. Readers are always encouraged to do their own research before investing in cryptocurrency, as the market is particularly volatile. The author of this article does not hold WAVES.