- FXS crypto price has defended the $4.000 support level and shot up 30% from the recent low.
- Frax token price is trading near to 50 day EMA and bulls are trying to hold the $5.000 level.
FXS crypto price is trading with mild bullish cues and bulls are trying to hold the prices above 50 days EMA. As per coinglass, In the last 12 hours, FXS Long and Short ratio stands at 1.72 denotes a strong bullish sentiment in the derivative segment. As of now, FXS/USDT is trading at $5.233 with the intraday gains of 1.49% and 24 hour volume to market ratio stood at 0.0105
More upside possible ?
On a higher time frame, FXS crypto price had been quite volatile and bulls were struggling to sustain above $5.000 equilibrium level. In the past couple of months, FXS price had tried multiple times to trade above $7.000 and $8.000 but got rejected from the supply zone indicating bear’s dominance on the higher levels. Recently, FXS hit low at $4.431 and reversing upside with a strong momentum while forming higher high candle’s indicates that the buyers were trying to reverse the trend in the favor of bulls.
The swing high at $6.367 will act as immediate hurdle for bulls followed by next hurdle
will be the downward sloping 200 day EMA (green) and another swing high at $7.513
On the lower side $4.000 will act as a savior for bulls. The MACD had generated positive crossover shows the bullish momentum may continue for some more time but prices had formed bullish candles for 7 consecutive days that’s why minor correction or consolidation is also possible. The RSI at 59 sloping upside denotes the strength of bulls and the confidence of buyers at lower levels.
Minor correction or consolidation possible ?
On a lower time frame, The FXS crypto price had shown strong recovery from the recent lows and forming higher high swings. The buying volume is keeping on increasing with the increase of price denotes some genuine buyers are building long positions from the lower levels and expecting the price to continue the upside momentum. The super trend indicator had generated a buy signal indicating the short term trend may reverse in the favor of bulls but prices had formed bullish candles for 7 consecutive days that’s why minor correction or consolidation is also possible.
Summary
Signs of a short term reversal indicate that the FXS crypto price may be heading up However, minor correction or consolidation is also possible before the further upside.
According to technical analysis, the upside momentum is intact and if bulls are able to sustain above 50 day EMA it will move towards further highs. Therefore, aggressive traders might look for buying opportunities and aim for the target of $7.000 and above by keeping $4.000 as SL. On the other hand, If the price drops below $4.000, then bears could take control to push it down towards $3.000 or less.
Technical levels
Resistance levels : $6.367 and $7.513
Support levels : $4.000 and $3.500
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 financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/01/07/frax-share-fxs-price-prediction-will-fxs-bulls-be-able-to-break-out-of-the-8-000-hurdle-in-2023/