TIA Plunges 20% Despite Coinbase Listing Announcement

Cryptocurrency

The Celestia price is down 10% over the last 24 hours to trade at $2.26 as of 5:00 a.n. EST, ignoring the news of U.S.-based crypto exchange Coinbase listing the token. TIA is down 20% from its all-time highs above $2.84 reached on Nov. 2.

Celestia is a new cryptocurrency that presents itself as the world’s first availability blockchain network. It launched its mainnet on Oct. 31 releasing more than $300 million worth of TIA tokens into the market.

According to data from CoinMarketCap, TIA surged more than 24 hours within a day setting all-time high’s at $2.84. Celestia’s 24-hour trading volume climbed as much as 7% reaching $382 million and a market cap of over $380 million, placing it among the top 100 cryptos on Thursday.

This was after Coinbase announced its support for the new token initially supporting TIA “with the Experimental label.”

A Few hours later, the leading crypto trading platform in the U.S. announced that the TIA/USD trading pair was “now in full-trading mode on @CoinbaseExch and Advanced Trade.”

Binance Futures has also announced its support for the TIA token, allowing traders to leverage their positions with up to 50x leverage.

The token is also listed on almost all of the major centralized exchanges including Kraken, OKX and KuCoin.

Despite this positive support for the token, Celestia has been plunging and is at risk of more losses. This has been blamed on TIA token airdrops where some airdrop recipients, chiefly Sybil groups, are liquidating Celestia through mainstream exchanges. This is exerting more pressure on bulls.

A Sybil group is a group of malicious actors who create multiple fake identities aiming to take control of a given network. In the case of Celestia, 51,494 addresses were suspected to be part of the Sybil group ring that received 17.05 million TIA.

According to research, one profitable Sybil group, operating 300 airdrop addresses, received 77,391 TIA which were then consolidated to one address and sent to OKX. Surprisingly, each of the 300 addresses ended up with 258 TIA, meaning Celestia didn’t notice they were associated and possibly operated by one entity.

Sending them to a centralized exchange means they were ready to dump them, hence the ongoing price downturn.

Celestia Price Stares into an Abyss as Losses to $1.80 Loom

TIA’s price action has been characterized by a number of lower highs and a series of relatively equal lows. This has led to the formation of a descending triangle on the hourly chart. The price was trading at the triangle’s support line at $2.26 at the time of writing.

An hourly drop below this level would trigger massive sell orders that could see the Celestia price drop toward the technical target of the triangle at $1.80. This would represent a 21% decline from the current price.

TIA/USD Hourly Chart

This pessimistic outlook was supported by the downfacing moving averages. These MAs also provided areas of strong resistance on the uprise, curtailing any recovery attempts.

In addition, the Stochastic RSI was turning down. Its position at 22 close to the oversold region suggested that the down trend was very strong. It also showed that the sellers were currently dominating the market.

On the positive side, the near oversold conditions displayed by the Stochastic RSI means that the sell-off may soon run out of steam. The low prices will encourage buyers to buy more at the dips occasioning a recovery.

If this happens, Celestia price could return back to the 10-hour Exponential Moving Average at $2.32, coinciding with the triangle’s resistance line. Rising above this level would confirm a bullish breakout from the triangle with the next resistance being provided by the 20-hour and 50-hour SMAs at $2.36 and $2.4 respectively. In highly ambitious cases, the TIA could rise to revisit the ATHs above $2.8.

Source: https://www.analyticsinsight.net/celestia-price-prediction-tia-plunges-20-despite-coinbase-listing-announcement/