In the month since I made a post on HIVE's price things have moved pretty much as expected and it's been great having entered at the lows as HIVE's built up a decent cushion on its way up. I'm not the one to celebrate before the festival but things are looking pretty good at the moment.
This is the weekly chart for HIVE/USDT and we're pretty much right at resistance level as I make this post. HIVE is up 26.9% from its lowest close so far which is great for its price. The $0.20 support I mentioned nearly 2 months ago held and paved for a steady build up in price. The question remains, when will HIVE pump out of the range?
The when isn't important. The "Why" is certainly important. If you've been patient enough to build up your positions from the lows then you may like what I say next.
Zoom in if you can't see the chart or open the images in a new tab.
Why am I bullish on HIVE price now?
This is the 12 hour price chart for HIVE and as you can see, there's the previous range that we broke down from and the new price channel we've been moving within. The current channel originally began as a triangle which we broke out from and pumped to around $0.28 in price and you can find that in my previous post.
Now, the price has pumped back in the previous range and on lower time frames it has backtested it and flipped it from resistance to support. You can find that in this screenshot of lower time frame.
We aren't out of the woods yet but the price action pattern in my opinion (this is not financial advice) is looking healthy and from price action analysis standpoint here's why:
- The price has been steadily building up towards the resistance after bottoming out. – Bullish
- In its multiple failed attempts to break resistance, it consistently posted higher lows. – Bullish
- It has made several attempts at breaking Daily TF resistance at $0.24 which after 43 days has been successfully flipped as support. – Bullish
- After the breakdown from previous range, HIVE price is once again testing the middle of the range which is where the weekly resistance lies. – Bullish
- Above average trading volumes on this channel breakout compared to a month ago. – Bullish
- Price made higher lows in USD despite Bitcoin having major pumps and corrections. It did not bleed any lower. – IMO Bullish
Now $0.24 cent HIVE price isn't the exact resistance but this price zone has been a resistance for 43 days as you will see in the image below. This is a decent time frame for accumulation of tokens especially in a market where many alts have done major rallies. In my view it was sufficient enough to get the price moving back up towards resistance.
Also worth noting is the increasing exchange trading volumes over the past few days. It has tripled from its recent lows.
So will the price break out and post gains in triple digits? Not so fast! Sometimes we need to slow things down and take a look at the bigger picture.
We need to close above $0.25c price on the weekly. This will give it momentum to hold the $0.25-$0.24 range for a push to break out of the triangle and over its recent high of $0.24 cents. It may not happen immediately though.
We need to break out of the triangle with strong volumes to continue higher however, as long as this weekly closes above $0.253 (previous weekly close) then the probability of trend continuation remains. The daily close today looks very good to me.
Overall im sad that we're out of the top 100 but i'm glad to see the price pattern on high time frame getting healthier. This is not to say that we can't retest the lows again. That's always a possibility but if pattern continues the probability of retesting lows will get lower by the day.
But as always it helps to play this level to level!