The Graph Price Prediction: GRT future depends on two critical technical levels

The Graph is stuck between the 100 SMA support and the 50 SMA resistance.
The MVRV returns to the buy zone as recovery to an all-time high lingers.
A break under the descending channel’s middle boundary could trigger losses toward $1.4.

The Graph is trading at $1.95 after recovering from the dip to $1.4. The massive losses occurred in the cryptocurrency market on Tuesday and affected the majority of the cryptoassets. Support was given by the descending parallel channel’s lower edge, whereby a rebound occurred with GRT stepping above middle boundary resistance.

The Graph in lock-step recovery

Following the 100 Simple Moving Average (SMA) break above, the Graph closed in on the next resistance level at the 50 SMA. Closing the day above the immediate resistance will pave the way for gains beyond $2, which may restart the breakout towards the all-time high of $2.86.

The Relative Strength Index (RSI) supports a bullish outlook, but only a break above the 50 SMA will validate the uptrend. On the other hand, the immediate support at the 100 SMA must stay in place to ensure the focus remains on higher levels.

GRT/USD 4-hour chart

The MVRV model by Santiment reveals that GRT is back in the buy zone. The on-chain analytics platform explains the MVRV “shows the average profit or loss of those holding GRT tokens which moved in the last 30 days, based on the price when each token last moved.”

In other words, a small MVRV ratio indicates that holders of GRT are in losses are have just broken out on their investment, therefore, are unlikely to sell. On the contrary, a higher ratio highlights that holders are in profit and consider selling for profit.

The Graph IOMAP model

Looking at the other side of the picture

The 4-hour chart shows that the overall volume is low, hence The Graph may embrace consolidation before the next massive move. Note that failure to close the day above the 50 SMA will jeopardize the upswing to the record highs.

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.