Theta Price Prediction: THETA bulls could vanish as multiple time frames flash ‘sell’
|- Theta price faces stiff resistance from the 161.8% Fibonacci extension level at $11.34.
- Momentum Reversal Indicator (MRI) has flashed a “preemptive top” signal, suggesting that the rally might be coming to an end.
- A decisive daily candlestick close above $11.34 could invoke a bullish scenario for THETA.
Theta price rally might come to an end soon as it approaches a significant resistance zone combined with a sell signal.
Theta price approaches overhead barrier
Theta price has increased 300% in less than a month. However, this bull run could be coming to an end as THETA is nearing another crucial point in its upswing, the 161.8% Fibonacci extension level at $11.34.
The MRI indicator flashed a “preemptive top” in the form of a yellow down arrow on the 1-day and the 1-week chart. This setup forecast a one-to-four candlestick correction.
Therefore, a combination of the 161.8% Fibonacci extension and the MRI indicator’s “top” signal could play a critical role in putting an end to THETA’s bull rally.
If the correction were to playout, Theta price could retrace 15% to $9.2. An overwhelming bearish pressure could extend this pullback by another 9% to $8.30.
THETA/USDT 1-day, 1-week chart
On the flip side, investors need to understand that sell signals tend to go bust in a strong bull trends. Moreover, the MRI’s sell signal is “preemptive” and has a chance of going bust.
If this were to happen, then Theta price could quickly surge past the $11.34 barrier coinciding with the 161.8% Fibonacci extension level. A decisive close above this point could see Theta price ascend 41% to 200% Fibonacci extension level at $16.01.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.