- The Compound token trades in an upward parallel channel on the daily price scale.
- The market cap of the COMP token increased by 6% to $461 million in the past 24 hours.
- The Compound token is in the green zone with the bitcoin pair up 6.7% at 0.002787 satoshis.
Compound token has been showing an uptrend for the past several days. Buyers saw a V-shaped recovery in mid-July after the recent decline. Later, buyers pushed up the property prices well over the past few days. Buyers followed a buy on the dip technique after the trend reversed last week.
Price action shows higher-high formation on the daily price graph. As a result, buyers barely manage the asset in an ascending parallel channel. The bulls are now approaching the trend line of resistance today.
At the time of writing, COMP token is trading at $64 level against USDT. Today the bulls failed to break the resistance line of the parallel channel. Although trading volume decreased last night, the bulls still need to hoard more altcoins to protect themselves from the upcoming decline.
Meanwhile, the market cap of the COMP token increased by 6% to $461 million in the past 24 hours. Thus, the Compound token is in the green zone with the bitcoin pair up 6.7% at 0.002787 satoshis.
Price Shows Downtrend Today
On the daily price scale, the RSI indicator is moving towards the overbought zone after retesting the semi-line several times. Similarly, the MACD indicator remains in a positive zone, which suggests an uptrend for the COMP token.
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Conclusion
Compound token is facing a retracement phase today. If buyers fail to sustain the asset price above the $50-support level, further downside is likely to take place. Bulls need to hoard more altcoins to protect themselves from the upcoming decline.
Support level – $50 and $30
Resistance level – $75 and $100
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2022/08/07/compound-price-analysis-buyers-observe-weak-near-the-resistance-of-parallel-channel/