Verge (XVG), formerly Dogecoin Dark, is a privacy-focused cryptocurrency with a market cap of $136 billion.
Verge ran its initial coin offering (ICO) for one month, beginning in June of 2017, and debuted just in time for the massive bull run at the end of 2017. XVG went from just half a cent to $0.30 before the year could close.
In the wake of the 2018 bear market and altcoin exodus, however, the price has tumbled all the way back to the half-cent level last week.
[bctt tweet=”Since Tuesday, the price has started to pump again — validating $0.005 as a strong support. At the time of writing, XVG has gained 60 percent in the past three days and peaked earlier today at 90 percent.” username=”beincrypto”]
Stochastic RSI
Taking a look at the 3-day and two-week stochastic RSI, we can see that, between today’s and yesterday’s pumps, XVG is in the overbought territory — approaching the 100 mark. Historically, XVG has shown a strong deflection down at these levels and indicate that the pump will most likely die down soon as traders begin to take profits.
Post Pump Blues
If you happened to have the foresight or luck to have purchased XVG in the past few days, it might be wise to look to take profits soon. The overbought stochastic RSI, break above the 14-day moving average, and approach of the descending line are strong indicators that the price will begin to fall back down to recharge, soon. If the price of Bitcoin continues to increase, there is a chance XVG could continue to rocket straight through the descending line — but will still be hard-pressed in making it back over the $0.015 resistance. Perhaps the best strategy for anyone looking to enter a position on XVG now would be to wait until after the price settles and drops back a bit while monitoring for a crash through the bottom support.
What do you think of Verge (XVG)? Will it break through the descending triangle? 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 XVG.
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Kyle Baird
Kyle migrated from the East Coast USA to South-East Asia after graduating from Pennsylvania's East Stroudsburg University with a Bachelor of Science degree in 2010. Following in the footsteps of his grandfather, Kyle got his start buying stocks and precious metals in his teens. This sparked his interest in learning and writing about cryptocurrencies. He started as a copywriter for Bitcoinist in 2016 before taking on an editor's role at BeInCrypto at the beginning of 2018.
Kyle migrated from the East Coast USA to South-East Asia after graduating from Pennsylvania's East Stroudsburg University with a Bachelor of Science degree in 2010. Following in the footsteps of his grandfather, Kyle got his start buying stocks and precious metals in his teens. This sparked his interest in learning and writing about cryptocurrencies. He started as a copywriter for Bitcoinist in 2016 before taking on an editor's role at BeInCrypto at the beginning of 2018.
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