Can Algorand price defend bears attack and rebound to $1
- Algorand price is outperforming the broader cryptocurrency market by holding onto recent higher lows.
- Selling pressure remains intense, but so is the buying response.
- Make-or-break zone ahead for bulls and bears.
Algorand price is currently down over 12% for the day, matching the average losses of the market. However, ALGO has seen buyers step up and begin a strong defense at the $0.63 value area.
Algorand price could trigger a massive bear trap above $0.75
Algorand price action on the daily chart is one of the better positioned altcoins to trigger a strong bullish reversal. While ALGO recently made new 2022 lows as recently as April 30, the post-low price action has been bullish, with buyers showing conviction to test higher.
The critical price level that bulls need to target to begin the test of a bullish breakout is above the current high volume node and the 88.2% Fibonacci retracement at or above $0.75.
From there, the 2022 Volume Profile thins out considerably, giving bulls an easier opportunity to breakout above the Ichimoku Cloud and to test the 2022 Volume Point of Control at $0.95.
ALGO/USDT Daily Ichimoku Kinko Hyo Chart
If bulls fault to support Algorand price, then the next likely support zone bears will push ALGO to is the final high volume node in the 2021 Volume Profile at $0.45. In that scenario, ALGO would produce a several major all-time lows in its oscillators, likely triggering a massive corrective move higher.
Author
Jonathan Morgan
Independent Analyst
Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.
