Arweave Price Analysis: Will bulls Leap back from their 200 days EMA?

Arweave coin price is just clutching hold near its support of 200 days EMA. Although the coin trades inside the rising parallel channel, it faces a strong resistance area near the range of its previous highs, around $14. The volume significantly standing in favour of bears from the last sessions makes bulls in tough situations waiting for a pullback to register the breakout.

A roller coaster move is formed on the daily chart, making it tougher for fresh buyers to make long positions because of the uneven moves without a clear articulation. The pattern does not favour further buying because of the wick rejection near its resistance area of $14. However, it gave a clear indication of a fake breakout this time.

Daily Chart Shows Rejection from the Top

On the daily chart, Arweave is trading near the lower trendline. If the price falls below, that will show a correction heading towards the immediate support of $9. Moreover, if the coin persists in holding range of $10, then a double bottom formation will be there, making bulls drill the muscles to show bullish moves again.

Short Term Charts Indicates a Pause

On the 4 Hours chart, the expansion in delivery volumes indicates that the war between the buyers and sellers drives the price volatile near the congestion zone of $10. However, the price waited now after consecutive purchases. Meanwhile, the bulls look weaker now with low strengths compared to bears.

AR is now breaking the lower trendline with a drop down in the volumes after the higher highs and lows. The coin is now shifting its pattern towards the lower highs, which buyers must keep an eye on for exiting the positions.

RSI: The recent rejections faced near the resistance area drop the curve towards the neutral range of 50. Moreover, the curve is near lower trendline support, and more selling may be witnessed if it breaks.

MACD( Bearish): The MACD indicator was noticed with a bearish crossover in the last sessions giving red bars on the histogram. The signals are now reversed from bullish to bearish and towards a correction phase.

Technical Levels

Support Levels:$8

Resistance Levels:$15

Conclusion

After the upward swings, Arweave shifts to complete its correction phase. The sellers are now actively looking to make shorts, as it breaks the pattern with the breakdown of its lower trendline.

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing