Synthetix (SNXUSD) Is in a Downward Spiral From Consolidation
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Synthetix Analysis – The Market Is in a Downward Slide Following Price Accumulation
Synthetix is in a downward spiral after about two months of consolidation. The market eventually found its way past the support border of the consolidation zone on the 16th of November 2021. After an initial bounce off the next price line at $8.000, it was assumed that the price would return to the accumulation zone. However, a retest of the consolidation support was followed by a downward spiral to $7.300.
Synthetix Key Levels
Resistance Levels: $11.100, 12.100, $15.200
Support Levels: $9.000, $8.000, $7.300
The market was compressed into an accumulation zone after price agitation through an expanding triangle setup. The coin was generally skewed to the downside during consolidation as price cranked through the zone. There were a total of five absolute touches to the support of the consolidation to three absolute touches to the upper border of the consolidation zone.
Bears win the contest as the price finds its way downward out of the ranging phase, as already indicated by the Stochastic Oscillator. The line of the Stochastic Oscillator can be seen gradually descending till it enters into the oversold region. Also, the Elders Force Index (EFI) has its power line on the negative side of equilibrium. Currently, the coin is holding above the $7.300 support level.
Market Expectations
On the 4-hour chart, the bulls might be ready for a comeback, but the $8.000 significant level, which has turned into resistance for the market, is obstructing an upward flow of price. There are indications that the coin will break it and reach out for the $9.000 consolidation lower border. The Stochastic Oscillator has climbed back upward and the EFI power line as well is now positive.
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