Since hitting its lowest point on Monday, September 23rd, JasmyCoin [JASMY] has experienced a 20.6% increase. While it has shifted its daily structure to a bullish trend, it is currently facing resistance at a significant level. Any retracement in Bitcoin [BTC] could potentially impact the gains made by JASMY.
Technical indicators are pointing towards a positive outlook for the token, with short-term sentiment also indicating anticipated continued growth. However, caution might be advised for swing traders given the current market conditions.
Concerns Arising from Trading Volume
Recent days have seen trading volume surpassing the average of the past two months, although it still pales in comparison to the rally seen in late May. The Money Flow Index, currently at 76, indicates strong upward momentum and buying pressure, albeit based on the last 14 days of trading.
While buying pressure may seem relatively high, it is essential to note that it may not be as strong in absolute terms when compared to previous strong trends witnessed in February or May. The price is inching towards a critical resistance level at $0.0244, which has held since early August.
Analysis using Fibonacci levels suggests that key resistance points at $0.0265 and $0.03 would need to be breached for JASMY to initiate a breakout. Despite this, the moving averages continue to reflect a long-term bearish momentum, emphasizing the necessity of a breakout to reverse the downtrend.
Increased Demand Expected to Drive JasmyCoin
Both Open Interest and spot CVD have been on the rise since last Monday, with a notable increase observed in the past 48 hours. This surge indicates a strong bullish sentiment in both spot and Futures markets.
While technical analysis and price action signals remain optimistic, it is crucial for swing traders and investors to exercise caution. The possibility of a range formation with a resistance level at $0.0244 should be considered when formulating trading strategies.
Disclaimer: The views expressed in this article are solely the writer’s opinion and do not constitute financial, investment, trading, or any other form of advice.