Crypto Analysis | Big Move Inoming For Hive?

Good day Hiveians!

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I just noticed something obvious that I had missed

In the last update I pointed to Hive's under performance in recent weeks. While we had a good rally in January/February, price was rather stagnant since then (although it was highly volatile). But I think I found one reason why Hive has been moving the way it has: resistance. While I noticed the the horizontal resistances, I forgot to look at the resistance coming from previous highs. Overcoming it normally leads to higher highs.

So far we are still on track to this general outline (the range in which price should move):

Ever since the start of the rally in January I pointed to a potential high in summer of this year. Although this greatly depends on what Hive does next over the next weeks. If it does not break out of the resistance (see chart below), then we will probably rather see a sideways movement staying under the 50-60 cents mark.

The resistances

While you can see the other resistances in the charts as the thinner red lines, the important resistance zone I missed is seen here:

This explains why Hive's performance has been relatively weak. The whole rally attempted to overcome this resistance, but has so far failed at doing so. But we also have a strong support (blue line) and they are now both converging. Since I think the bear market has ended, I am favoring the scenario that sees this resistance being overcome in the very near future. Essentially it could be only a couple of days when we break it.

On the weekly chart we can already see that this resistance from previous highs has been overcome recently (thicker red line), indicating a larger move upwards in the following weeks and months:

If we get a break out (i.e. pump) where would it be heading?

Perhaps surprisingly, the answer to this is very clear (at least to me). Overcoming this resistance would very likely also mean that the horizontal resistance (thick orange line), would also be sustainably broken.

While it could happen at anytime, it looks like it could be happening rather soon. Price would probably go (perhaps not in one push) to the 70-80 cent range. After that, price would surely head back lower again and probably retest the resistance that it broke out of which would mean the 50-60 cent area.

This push would be fantastic as it would confirm the upwards trend and bring us back near to $1 in the mid term. The rally might last until around July and perhaps go as far as $1 or $1.6; but we first have to see if price can make this bigger push upwards.

 

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As a general reminder: Please keep in mind that none of this is official investment advice! Crypto trading entails a great deal of risk; never spend money that you can't afford to lose!

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