Recently, the 1inch crypto price shattered the critical support level of $0.43 and headed downward. Price then formed support at the $0.405 level and began to consolidate between the $0.405 and $0.425 range.
The narrow consolidation zone did not sustain for a long time, and On May 18, the price finally did a break and closed below the $0.405 level.
The 1inch crypto price has created support at $0.395 and retested the previous narrow consolidation zone. The current candle is trading below the current support, but there is only an appropriate confirmation for selling once the candle is closed.
If the current candle can break below the lower wick residing at $0.389, there is a higher probability for the price to target yearly lows of $0.375. This will lead to the price losing all of its gains in 2023. The year-to-date return has dropped to 3.13% from roughly 88%.
Will 1 Inch Lose All the Gains of 2023?
The all-time high of a 1inch crypto price is $7.87, down by -94.98%. The recovery for 1inch is quite challenging as looking to the left; there are many intense resistance levels in the way of 1inch, which requires solid bullish momentum for breaking it.
If the 1inch price can rise above $0.51, there is a clean move for it to reach the April high of $0.575. In the past month, total volumes of swaps hit the mark of 1 million across the 1inch network on Optimism network, which was a significant achievement for the 1inch network.
However, 1inch witnessed a decline in the number of stakeholders and active addresses, raising concerns regarding the stability of the network.
Will 1inch Crypto Price Decline to $0.375 Level?
1inch is trading below all the major EMAs indicating high bearish momentum in the market. Chaikin money flow score is 0.12 indicating that there is still strength left in the price. While the price action is bearish and CMF shows bullishness indicates divergence in the market.
The bulls have started to jump in the market to halt the bearish momentum so as to stop it from breaking the yearly lows. The relative strength index will soon enter the oversold zone and is currently at 32.42.
Chance of short term pullback toward the EMAs might be possible in upcoming days. The long/short ratio is 0.97 with 49.26% longs and 50.74% shorts indicating that traders are favouring the selling side.
Conclusion
The market structure and price action for 1inch is bearish and there are no signs of bullish sentiment in the market. The technical indicator supports the selling side. 1inch price prediction indicates a possibility of short term pullback if price reaches the major support level.
Technical levels
Major support: $0.375
Major resistance: $0.405 and $0.43
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/05/24/1inch-price-prediction-1inch-price-headed-towards-the-yearly-lows/