CryptoSignals News
Join our Telegram

$SPONGE (SPONGE/USD) Faces Bearish Test as Key Support Falters

Estimated Reading Time: 3 minutes

Article Rating:
Based on 1 vote
Login to rate this article.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you are unlikely to be protected if something goes wrong. Take 2 minutes to learn more

$SPONGE (SPONGE/USD) Faces Bearish Test as Key Support Falters

The recent market-wide crypto downturn has dragged $SPONGE below its crucial $0.000104 support—a level many expected to trigger a bullish rebound. Instead, the breakdown reveals waning buyer strength, raising questions about the sustainability of the previous uptrend.

However, the sell-off lacks conviction. The sluggish downside momentum suggests bears aren’t fully in control, leaving the door open for a potential reversal if bulls defend lower supports. While the breach of $0.000104 is technically bearish, the absence of aggressive selling in the crypto signal hints at accumulation near current lows, setting the stage for a possible recovery.

Critical Levels to Watch

  • Resistance: $0.000115, $0.000120 $0.000130
  • Support: $0.000090 , $0.000085, $0.000080

$SPONGE (SPONGE/USD) Faces Bearish Test as Key Support Falters

Daily Chart: Volatility Holds as $SPONGE Tests Oversold Territory

The daily chart shows Bollinger Bands remaining wide, reflecting persistent volatility after $SPONGE’s drop below $0.000104. Currently hovering near $0.000103, the asset is flirting with oversold conditions—a scenario that often precedes short-term bounces.

Notably, trading volume remains anemic, signaling limited seller enthusiasm. This lack of follow-through suggests the breakdown may lack staying power. If buyers step in at these levels, a consolidation phase could unfold before the next directional move.

$SPONGE (SPONGE/USD) Faces Bearish Test as Key Support Falters

SPONGE/USD 4-Hour Chart: Silent Bullish Divergence Emerges

The 4-hour timeframe reveals an intriguing development: a volume spike coinciding with minimal price decline near $0.000103. This divergence implies stealthy accumulation, as buyers absorb sell orders without triggering a sharp rebound—yet.

Such activity often precedes bottoming patterns. If this support holds, SPONGE/USD may enter a compression phase before attempting to reclaim $0.000104. Traders should monitor for:

  1. Increasing bid liquidity at current levels

  2. A volume-backed push above $0.000104 to confirm bullish revival

Buy $SPONGE!

Join the SPONGE community and get in on the next big crypto opportunity! Buy Sponge ($SPONGE) today

Recent News

June 07, 2023

Cardano Enters Oversold Area As It Revisits Previous Low of $0.33

Cardano (ADA) Price Long-Term Forecast: Bearish Cardano (ADA) price is falling below the moving average lines as it revisits previous low of $0.33 . The bears have broken below the lower price range in order to keep the selling pressure up. In the most recent price movement, ADA fluctuated between ...
Read More

Join Our Free Telegram Group

We send 3 VIP signals a week in our free Telegram group, each signal comes with a full technical analysis on why we are taking the trade and how to place it through your broker.

Get a taste of what the VIP group is like by joining now for FREE!

arrow Join our free telegram