WAVES Price Needs $8 Pullback Before Its Next Jump

The WAVES price rising for four consecutive days registers a 130% gain from the $4.18 low. Moreover, the buyers gave a high volume momentum breakout from the $8.14 resistance, offering a long opportunity for interested traders. However, the altcoin facing supply pressure near $10 may undergo a minor pullback before continuing to rally again.

Key points: 

• The WAVES price shows long wick rejection near the $10 resistance
• The coin price jumps above the upper band of the Bollinger band indicator
• The intraday trading volume in the WAVES is $3.3 Billion, indicating a 20% hike

Source- Tradingview

Amid the de-pegging of the USDN stablecoin from the US dollar, the WAVES price witnessed a massive sell-off in the past two months and plunged to a low of $4.18. This downtrend tumbled the coin price by 93.3%, down from the All-Time high of $62.36.

However, WAVES price experienced a sudden turnaround with the recent announcement of the USDN Revival Plan projected by the WAVES team. The coin price bounced back from this new support and rallied 130% higher to its current price at $9.66.

The recovery rally has breached the $6 and recently $8 resistance suggesting the buyers aim for another leg up. However, despite a high volume breakout and follow-up candle, the high-wick rejection attached to these candles indicates the buyers struggled to reclaim $10.

Thus, summiting the high supply pressure and the WAVES price may trigger a minor pullback to retest breached resistance of $8. If buyers sustain through this retest, the altcoin will rise 30% to hit the $12 mark.

Technical indicator

The daily-RSI slope sustaining above the neutral line(50) indicates a positive sentiment among traders.

The WAVES price jump pierced through the Bollinger band indicator’s upper band accentuates a sudden unhealthy pump. This bolsters the pullback theory, which should find support at the $8 mark. 

• Resistance level- $12.1, and $16.7
• Support level- $8 and $6