Band Protocol Technical Analysis: BAND impressive recovery eyes $7.5


  • Band Protocol holds above the 200 SMA support while dealing with the short term 50 SMA hurdle.
  • On-chain analysis reveals the absence of resistance towards $7.5, adding credence to the bullish outlook.

Band Protocol is crowing the weekend with a remarkable recovery. Following losses from $7.5, support was embraced at $5.8. Over the last few days, the progress made can be attributed to the support Band Protocol is receiving after a successful mainnet launch. At the time of writing, the token is trading at $6.4 amid a fast building bullish momentum.

Band Protocol new mainnet supports customizable data oracles

It is barely a week since Band Protocol had a successful mainnet launch. The upgrade from Wenchang to GuanYu has brought forth several features. For instance, GuanYu allows validators to fulfill data requests in return for a portion of the fee from our partners and developers that have integrated Band Protocol."

The most vital feature of the upgrade is support for "permissionless creation of customizable data scripts that can query public and permissionless data sources." The scripts also leverage decentralized networks from more than 67 validator nodes.

Band Protocol bulls regain control of the trend

Marginally above $6.4, BAND is dealing with seller congestion highlighted by the 50 Simple Moving Average (SMA) in the 4-hour timeframe. The 200 SMA supports the immediate downside.

Consequently, the bullish outlook is emphasized by the Relative Strength Index (RSI) as it grinds to the overbought area. Trading above the 50 SMA would boost BAND towards the crucial resistance at $7.50

BAND/USD 4-hour chart

BAND/USD price chart

IntoTheBlock's IOMAP model suggests that the path to $7.5 is relatively smooth due to the lack of strong resistance. However, bulls must prepare to slice through the subtle supply at $6.5 - $6.7. Here, 646 addresses previously brought approximately 271,000 BAND. On the downside, immense support exists between $6.1 and $6.3. Earlier, 369 addresses almost 3.5 million BAND. It is unlikely that bears will penetrate this zone and push BAND to $5.

Band Protocol IOMAP chart

BNAD/USD price chart

Looking at the other side of the fence

It is worth mentioning that the bullish outlook would be invalidated if the 50 SMA resistance remains intact. Moreover, the immediate support at the 200 SMA does not seem strong enough to hold BAND if a reversal comes to the picture. The most formidable support lies at $6.2 and last week's anchor at $5.8.

 

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.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

China prohibits units and individuals from creating and selling cryptocurrencies

The new draft of legal comments clearly states that no individual or unit can produce or sell tokens to replace CNY in circulation in the market. The violation of this law will have severe consequences according to the draft.

More Cryptocurrencies News

Uniswap Price Prediction: UNI needs to crack $3.1 for a massive price explosion

Uniswap has been in a downtrend for several weeks now while bulls attempt to see any kind of rebound. The digital asset seems to be facing a crucial resistance point. Let’s take a look at several indicators and patterns to determine the direction of the price.

More Uniswap News

Bitcoin Weekly Forecast: Bitcoin goes up as some of the world's largest currencies go down

While investors are waiting for BTC to retest all-time highs and shoot to the moon, it is already there. In some countries, the pioneer digital asset surpassed the peak of 2017 and hit new historic highs in local currencies.

More Bitcoin News

Yearn.Finance Price Prediction: YFI looks poised for a breakout towards $20,000

YFI has been trading inside a massive downtrend since September 12 and formed a head and shoulders pattern that broke bearishly. After losing close to 70% of its value over one month, the digital asset seems ready for a massive rebound. 

More Yearn.Finance news

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: Bitcoin goes up as some of the world's largest currencies go down

While investors are waiting for BTC to retest all-time highs and shoot to the moon, it is already there. In some countries, the pioneer digital asset surpassed the peak of 2017 and hit new historic highs in local currencies.

Read the weekly forecast

BTC

ETH

XRP