Compound (COMP/USD) Bears Gain Strength After Consolidation
Estimated Reading Time: 2 minutes
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
COMP/USD Price Analysis: COMP/USD Enters Consolidation Twice in a Downtrend
COMP/USD shows a downtrend of about -57.50% from August to January, consolidating twice at the price levels of $30.00 and $23.80. This signals that the trend is losing momentum.
COMP/USD Key Levels
Resistance Levels: $38.61, $60.26
Support Levels: $24.30, $24.10
The daily timeframe shows price in the oversold zone on the Stochastic Relative Strength Index (Stoch RSI) near the price level of $23.80. This suggests a potential trend reversal or pullback, although price has broken below the support area. Candles forming below the Simple Moving Average (SMA) show the market remains in a downtrend, even as bearish momentum weakens.
Zooming in on the 4-hour timeframe, the market broke the neckline of the double bottom pattern near the price level of $28.00, giving an early signal before the breakdown toward $23.80.
Market Expectation
On the 4-hour timeframe, price broke below the lower Bollinger Band with momentum after brief market indecision from January 20 to January 28. This means sellers remain in control of the market.
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 result.
