Flow Price Breaches The Support Of $0.85

Flow is native currency for Flow network which is a decentralized, public layer one blockchain, empowering developers to build web3 applications for mainstream adoption. Flow token is the fuel that powers the network. The uptrend for flow started at the beginning of 2023 giving a rise of approximately 118.40% from the low of $0.65 level.

The upward move of flow was corrected by the price as soon as it hit the $1.39 level due to active participation of sellers on that level. The Flow price fell to form a low at$0.65 level. Flow price consolidation phase started after the downfall, ranging between $0.85 and $1.08.

FLOW Price Might Lose Gains It Made In Year 2023

Recently, flow did a breakout from the consolidation zone to downside and formed a minor support at $0.760. The support of $0.85 level held price twice but the candle of 8 may pushed the price down. If bears are able to break $0.760 level, there is a higher possibility for the price to reach $0.690 level causing a downfall of approximately 8%.

Looking at the bearish momentum in the Flow price, there is a higher possibility for the price to break the recent support.if bulls are able to defend the support, there is a higher probability for pullback in the price retesting $0.85 level which will now act as resistance for the price. The price on the journey to lose its gains of year 2023 if the break of $0.76 level happens.

Flow Gains Bearish Momentum

Flow price is trading below 20,50,100 and 200-day EMA indicating strong bearish momentum in the price. RSI trades below 30 mark reaching the oversold zone. There is a chance of reversal as price reaches the oversold zone. RSI can move deep into the oversold region if a break of recent support happens.

Chaikin Money Flow score has started to rise as the current candle has turned bullish but is still below 0 mark indicating weakness still prevails in the market. Flow price has arrived at the lower band of the bollinger indicating chances of reversal. The longs/shorts ratio is 0.57 with 36.29% longs and 63.71% shorts indicating an increased position of sellers than buyers in the last 24 hours.

Conclusion:

The market structure and price action is currently bearish for Flow price as price recently did a breakout from consolidation. The technical parameters suggest that there might be a chance of pullback if bulls jump in the market to protect the support of $0.76 and gain bullish momentum.

Technical levels:

Major support: $0.76 and $0.69.

Major resistance: $0.85 and $1.08.

Disclaimer

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