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Algorand price to catapult by 30% after revisiting these levels

  • Algorand price slices through another resistance barrier at $0.818 in its uptrend.
  • Investors can expect a 30% upswing if the bulls manage to bounce off the $0.818 support level.
  • A daily candlestick close below the $0.675 support level will invalidate the bullish thesis for ALGO.

Algorand price has been on a steady uptrend since March 14 and shows no signs of stopping. The recent uptick is looking to flip a resistance barrier into a support level to trigger more gains for ALGO.

Algorand price looks to trigger new leg-up

Algorand price rallied 43% in the past two weeks and sliced above the weekly resistance barrier at $0.818. This uptrend has moved past the said hurdle but has not successfully retested it as a support level.

Therefore, investors need to wait for a minor retracement that tags the $0.818 barrier as a foothold. If successful, this retest will serve as a signal for the next leg-up that will propel ALGO by nearly 30% to set a swing high at $1.04. 

In some cases, this move could extend to the subsequent hurdle at $1.15, bringing the Algorand price gain to 41%.

ALGO/USDT 1-day chart

ALGO/USDT 1-day chart

While things are looking up for Algorand price, the retracement explained above could never occur. Instead, the uptrend will continue from its current position - $0.918. Such a move has the possibility of reversing the trend due to bullish exhaustion.

In such a case, a daily candlestick close below the $0.675 support level will invalidate the bullish thesis for Algorand price by producing a lower low. This development will allow the market makers to push ALGO lower and collect the sell-stop liquidity formed between May and July 2021. Here, buyers can regroup and give the rally another go.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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