BitTorrent Token, BTT, had a strong finish to last week increasing from an area of consolidation to above a key resistance point before quickly falling back below it.
BTT had been consolidating between $0.000725 and $0.00075, an area where price found buyer liquidity on its first drop after the initial surge which took place upon launching.
The price increase which took place over the weekend brought price above an expected resistance level at $0.00083.
Despite price closing above this level, price found selling pressure the following day and dropped back below.
While BTT increased on the 16th and 17th, the market leader Bitcoin had a strong performance on the 15th and 16th which likely played a key role in increasing buying pressure in altcoins such as BTT.
Price has since moved back up to retest the level but failed to close above on the retest.
Price has started dropping since the retest and formed a lower high on the 6-hour chart.
With the lower high formed and both the MACD and RSI dropping, these indicate short-term momentum to be on the side of sellers.
Another recently launched token, ChainLink, has been trading above a key level which has acted as both support and resistance in prior price action.
ChainLink launched in mid-January and the $0.475 level acted as initial support.
The price of ChainLink dropped below $0.475 on the retest and the level subsequently acted as resistance numerous times before price broke back above.
Price has been mostly consolidating above this level for the majority of this week.
Although, the price has dropped below a number of times, buying pressure quickly brought the price back above.
Price has formed a number of Doji candles above this level.
Doji candles are candles where the open and the close are around the same point and typically reflect uncertainty from traders.
Price has already tested the level numerous times.
Each test of a support level makes the level progressively weaker with fewer buyers to hold the level on each test.
This increases the likelihood that the price will break below this level.
In the event that price breaks below, it is likely to find support at $0.438 which has been a point of both support and resistance on the hourly timeframe.
- The price of BTT recorded a strong price performance over the weekend lagging behind the market leader Bitcoin.
- The price of Link trades above a key level which has acted as both an important point of support and resistance in prior price action.
- Link has tested the support level numerous times increasing the likelihood that it will break below.
- The next key level to monitor for Link is $0.438.
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