Compound (COMPUSD) Keeps Declining Algorithmically Since Price Rejection At $86.00 Resistance
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
COMPUSD Analysis: The Market Keeps Declining Algorithmically Since Price Rejection At $86.00 Resistance
COMPUSD has kept declining algorithmically since price rejection at $86.00 resistance. Following an exuberant expansion to the upside all through June and July 2023, COMPUSD hit $86.00. The upsurge to the $86.00 resistance was followed by the collapse of COMPUSD as the bears took complete control of the market.
COMPUSD Significant Zones
Demand Zones: $23.20, $3.00
Supply Zones: $54.60, $86.00
The market’s descent from the $54.60 resistance plunged the price into the oversold region in June 2023. The state of the market being oversold was revealed by the RSI (Relative Strength Index), as it coincidentally crossed the 30.0 level to the downside. Following the indication of an oversold state, the price rose spontaneously and broke through the $54.60 resistance until COMPUSD became overbought. Before the indication of the market’s overbought state, the price retraced downward to retest the $54.60 level before continuing its uptrend.
In the overbought state, the year’s high formed on July 16, 2023. The market collapsed immediately after the formation of the major high at $86.00 resistance, forming a swing low at $58.30. Following the formation of the low, COMPUSD surged upward only to form a lower high after a buy-side liquidity sweep above $77.30. As the market structure shifted to the downside, the MA Cross gave a sell signal, indicating the bears’ presence in the market. The decline continued algorithmically, invalidating old lows until the formation of a new low at $35.40.
Market Expectation
The market’s overall trend is bearish; however, COMPUSD is currently in a consolidation phase on the four-hour chart. The consolidation began after the formation of the swing low of $35.40 at the discount zone. Investors takeaway; COMPUSD is likely to retrace first to the upside before the market’s overall trend is resumed.
You can purchase Lucky Block here. Buy LBLOCK
Note: Cryptosignals.org is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results.
