Algorand price could run up 17% with this trade setup

Algorand price could be forming an inverse head and shoulders.
AGLO price is retesting a strong Fibonacci level.
Invalidation for the bullish thesis is a break below $0.67.

Algorand price could surprise the bears aiming for the March lows. Traders should keep their eyes on Algorand for a potential continuation of the uptrend.

Algorand price could retrace back to the $0.90 zone

Algorand price is currently trading at $0.79. Last week's bullish thesis gave a $1.06 target for the ALGO price with an invalidation at $0.7610. The bears have not yet invalidated the thesis but are coming in close with traders positioned to leave the market if the breach occurs. The ALGO price chart pattern displays some evidence of a short-term bottom around the current price point.

Algorand price is retesting the breached 61.8% retracement level and could be forming a classic inverse head and shoulders at this level. The ALGO price would need to retrace into the $0.93 level to complete the classic reversal pattern. Subsequently, there are several 2-day order blocks in the $0.90 zone, commonly referred to as "smart money magnets'' amongst professional traders.

ALGO/USD 2-Day Chart

Algorand price current trade setup gives a 1-1 risk to reward ratio. The ALGO price should under no circumstances breach the head of the inverse head and shoulders at $0.67.

If the bears manage to breach $0.67, the entire uptrend for Algorand price would be void. Traders should expect more downside with ALGO price landing in the $0.60 and $0.55 price levels, up to a 35% dip from the current Algorand price.

Share: Cryptos feed

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram