XCH Price Analysis: Chia Token struggles as momentum gets squeezed out

• XCH/USD is currently priced at $80.38 and has decreased by 1.32% in the past 24 hours

• The trading volumes have decreased by 23.62% in the last intraday session

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• The technical indicators show bearish to neutral momentum 

Short Term View: Chia Token entering a period of consolidation

The Chia token price today is $80.38 USD with a 24-hour trading volume of $9,826,506 USD. Chia is down 1.32% in the last 24 hours. The crypto sector has been rebounding since Jan. 24 but Friday’s decline caused cryptocurrencies and altcoins alike to drop out of a rising channel, which indicates the short bull cycle could be over. The trading volumes have declined considerably over the past day,while the Volume to Market Cap Ratio stands at 0.03921.

Chia token price soared to an all time high of $1,934.51 which it reached in the middle of the golden run of May 2021. Then came the correction and unfortunately, it hasn’t been able to recover from the damage and currently trades at a fraction of it’s ATH. The altcoin is in the midst of a downtrend as it trades below the 20 and 50 SMA ,in what can only be considered as a bearish signal. The altcoin is likely to find resistance at $86 which the crucial support level is at $74 which XCH needs to hold onto.

Long term View 

Chia token is showing bearish momentum as the MACD histograms have been falling which signifies the weakening momentum of the bullish rally as the bears look to have taken a hold of the proceedings. The RSI,on the other hand, stands at 53.36 which suggests XCH being in neither overbought nor oversold territory. 

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Conclusion

The Chia Token initiated the month on a positive note but has failed in it’s endeavor to increase prices further and has plunged to the bearish well in the past day. The buyers started becoming limited and currently, even the sellers have squeezed. Therefore the price is unable to fluctuate to possess a good volatility rate which attracts the traders. The Chia token price has retreated slightly in the past two straight days as its strong recovery faltered. We are likely to see a period of consolidation in the upcoming days before we get to see a rally ahead.

Support: $74

Resistance: $86

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.