A look at the Weekly chart for IOTA in logarithmic form shows that price fell to the main resistance area at $0.21-0.23.
Afterward, price started a small rally until the first resistance area at $0.41-0.44 which coincides with the 7-period moving average.
Price is facing resistance from the 7 and 21 period moving averages plus the Ichimoku Cloud.
The RSI is close to 40, indicating neither overbought nor oversold conditions, while the MACD is trending upwards. IOTA/USD is currently trading at $0.31.
A look at the 3-day chart for Iota shows that price is currently below all the moving averages and the Ichimoku cloud.
The RSI is at 40 indicating neither overbought nor oversold conditions.
However, there is a significant bullish divergence between the price and the MACD.
A look at the daily chart gives a little more information about the market.
Price reversed after developing bearish divergence in the RSI and hitting resistance from the 50-period moving average and the Ichimoku cloud.
Price promptly reversed to the mini-support area at $0.3.
It is worth noting that the projected cloud from February onwards is positive.
Short-Term Outlook and Price Prediction
A look at the 2-hour chart gives a clearer picture of the drop in price.
We can see that price is trying to retrace but has failed to break the 0.382 fib line.
Given this and the previous charts, there is no clear information about where price might be headed.
Price Prediction: However, given the weakness of the retrace and the lack of bullish divergence, I believe it is more likely that price keeps falling to the next support area at $0.21-0.23.
- IOTA/USD is trading in a range between $0.31 and $0.45.
- Price failed to break the Ichimoku Cloud.
- The next support area is at $0.21-0.23.
Latest IOTA News:
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