Algorand Price Forecast: Heading to a 10% crash
- Algorand price tests the daily support $0.161 level.
- ALGO’s Relative Strength Index (RSI) and Awesome Oscillator (AO) both signal a bearish momentum.
- A daily candlestick close above $0.172 would invalidate this bearish thesis.
Algorand (ALGO) price is about to break below the daily support level at $0.161 on Tuesday, extending its two-week decline after being rejected near $0.200 on May 27. The Relative Strength Index (RSI) and Awesome Oscillator (AO) momentum indicators both signal a bearish momentum.
Algorand poise for 10% crash
Algorand's price crashed 17% from Friday’s high at $0.193 to a low of $0.1600 after facing resistance around the 50-day Exponential Moving Average(EMA). ALGO’s price extends its decline on Tuesday and tests the key daily support level.
If ALGO's daily candlestick closes below the daily support level of $0.161, it could crash 10% and retest its previous support at the April 13 low at $0.145.
The Relative Strength Index (RSI) and Awesome Oscillator (AO) support this bearish outlook, as both are below their respective mean levels of 50 and 0 and signaling bearish momentum.
ALGO/USDT 1-day chart
On the contrary, if the Algorand price produces a daily candlestick close above the Monday high at $0.172, it would create a higher high in the daily time frame, invalidating the bearish thesis. This bullish development could see ALGO rally 10% to the daily resistance level of $0.189.
Author
Manish Chhetri
FXStreet
Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.
