MOON July 19 All-Time High
r/CryptoCurrency Moons (MOON), the reward token for contributing to one of the platform’s largest and most active crypto communities. Moons are ERC-20 tokens that can be used to display reputation, unlock exclusive features, and add weight to votes in polls within the subreddit. They can also be traded on various exchanges for other cryptocurrencies or fiat currencies.
We covered a lot about Moon in our previous analysis. Per that analysis, Moon has been soaring in value recently, reaching a high of $0.64440 per token on July 19, 2023, creating its highest significant resistance (red). This was a remarkable achievement for a token that started as an experiment in April 2020 and had an initial value of $0.0025 per token.
MOON July 19 All-Time High: Recent Price Movements
Since then, Moons have experienced several ups and downs, reflecting the crypto market’s volatility, dynamism, and movements.
These movements created a short-term downtrend visible on the 4 hourly chart and other value areas like the two support areas (blue) at and between 0.24119 and 0.32293. Price eventually bounced off the lower support area, broke through the short-term downtrend line, and formed a short-term uptrend, signalling strong potential for a Change of Character (CoC) and nearing its July 19 all-time high.
Expected Moves and Outcomes
While the event of the price climbing back up near the all-time high is evidence of a strong buy presence and momentum, that presence and momentum are expectedly starting to dwindle as the price has reached an area of value and, at the same time, uncertainty, i.e., the resistance zone. This is normal because whenever the price moves close to an area of value, the momentum usually starts to lose steam because traders begin to close their trades at those areas of value manually or through SL/TP orders placed in those areas.
If we put this all into perspective, we can now understand that buyers started closing their trades as the price approached the resistance zone, giving way to existing and even new sellers. However, this doesn’t necessarily mean the price is about to change directions again because a mere reaction to an area of value does not confirm a trade.
As we can see on the hourly chart, even though the price has reacted to the resistance zone, it is still also reacting to the upward trendline support. These bounce off the two areas (the trendline support and the bottom side of the resistance zone) and will keep going till there is a clear breakout from one of the areas.
While considering the above, we speculate that the price is more likely to break out of the resistance zone and reach and possibly surpass the current all-time high. And as we look closely, we can see the possibility of an ascending triangle (which is usually a continuation pattern) being formed. If this holds, then be ready for MOON to soar much higher.
Featured image: Shutterstock
Disclaimer: The information on AlteBlock reflects the authors’ personal opinions. It does not represent AlteBlock’s opinions on whether to buy, sell, or hold specific investments. It is suggested that you conduct your own research before making any investing decisions. You use the information at your own risk. See Disclaimer for additional details.
Dominic Jubemi is primarily into legal practice. However, he has taken interest in building and grooming fundamental skills in FX and Crypto trading, audio engineering and in the nearest future, fiction writing.
