UMA (UMAUSD) Enters Into Dormancy as Bulls and Bears Cancel Out Each Other
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UMA Analysis – Price Enters Into Dormancy Between Significant Levels
UMAUSD enters into dormancy as bulls and bears cancel out each other. Both market forces have taken turns swaying the coin, and now UMA enters into dormancy. The peak that the bullish force took the market to is the $24.000 price level. Thereafter, the price dropped continuously, only getting a brief respite at $16.100. Eventually, the coin drops below $15.000 but remains largely above $13.500, and the price enters a fresh dormancy period.
UMA Key Levels
Resistance Levels: $15.000, $16.100
Support Levels: $13.500, $12.000
This is not the first time that UMA enters into dormancy. There was a prolonged period ranging between $12.000 and $9.500 from the 7th of September to the 19th of October, with price only temporarily dropping below it. An upsurge eventually helps the coin above the consolidation zone from which price builds its escape upward.
Following that, price continues to rise, breaching multiple significant levels and making consistent higher lows. This continues till the coin gets to $24.000. From there, a downward trend starts which sinks the market below the $15.000 significant level. The $13.500 key level also shields the daily candles from below, locking the market into dormancy. UMA, therefore, enters into a consolidation phase.
Market Prospects
On the 4-hours chart, the drop in the market has also moved the 4-hour candles below the mid-line of the envelope indicator. But at the consolidation level, the price is undulating about the middle line. On the Relative Strength Index chart, the coin is around equilibrium but skewed towards the bearish territory. UMA will continue to consolidate and may eventually trade at a lower price of $12.000.
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