No Further Scope for The Affirm Stock Price, Why do Investors Keep it in Portfolio?

• Affirm stock price has lost the key $10 support level amid intense selling.
• NASDAQ: AFFIRM stock price (AFRM) is down about 36% this month.
• The buyers are in big trouble as the share price has seen a 91% fall in the last one year.

NASDAQ: AFFIRM stock price (AFRM) has no upside opportunities so far. Though the global markets are doing well so far, yet, the given stock continues to underperform.

The Affirm stock has weak fundamentals as per the Quarter earnings reports. Earnings were not good as analysts expected in the last few quarters, therefore stock price frequently lost its higher existence. Moreover, the price-earning ratio (P/E) observes at -4.56 as of now. It’s good to ignore investing for a while until asset price recap some bullish hurdles. 

Affirm Stock on Daily Price Chart 

Till November 2021, NASDAQ: AFFIRM stock recorded a remarkable rally in price. Later on, AFRM hit the all-time top at $176.65 before the profit booking. From the top, buyers lost nearly 94% so far even buyers lost conceptual round level of $10 this month. 

In the letter of 27 December, Affirm stock fell 3.05% in a day and closed at $8.91 mark. After breakdown, the $10 mark flipped into the immediate bullish hurdle. As per the selling on rise market strategy, bears maintain their dominance on assets, showing more downtrend ahead.

Along with the downtrend, the Average Directional Index (ADX) is gradually increasing, which is not good for buyers because it shows aggressive selling pressure. At the time, market cap present was recorded at $2.59 billion. Due to low trading volume, the volume oscillator indicator seems sideways below the neutral level.

On the daily price chart, Affirm stock price is well below important moving averages such as 20, 50, 100 and 200. Moreover, the RSI indicator is reaching the oversold zone, so buyers are ignoring any latest investments in this stock.

Conclusion

Affirmed stock price (AFRM) looks well below the conceptual round level of $10 key resistance. The buyers have been looking for a strong support level for a while to reverse the price action.

Support level – $8.0

Resistance level – $10 and $20

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.

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.

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