Discounted KCS Price Hints Potential Rally To $18

The KuCoin (KCS) price witnessed a significant correction in response to the last week’s sell-off across the crypto market. The downfall plummeted the coin price to 0.618 Fibonacci retracement level, nearing the May low support of the $9.34 mark. Furthermore, the KuCoin price analysis indicates a previous bullish reversal initiated near the $10 region projects this area as a potential demand zone.

Key Points:

• The KCS price shows a lower price rejection at 0.618 FIB
•  The Daily-RSI slope slumped into the oversold region
• The intraday trading volume of the KuCoin token is $12.2 million, indicating a 6.78% loss

KCS/USDT Daily Price Chart – Source: KuCoin 

The April-May bloodbath in the crypto market, especially in Terra LUNA, triggered a significant correction in the KCS/USDT pair and plunged it to the $9.34 mark. However, unlike some major cryptocurrencies, which witnessed high volatility and consolidation, the KCS price showcased a sharp recovery during the second half of May.

The V-shaped recovery slashed the KuCoin token price by 90% and hit the overhead resistance zone at $18. A minor pullback observed reflected profit booking from short-term traders, after which the buyers reattempted to breach the $18 resistance.

However, last week, crypto traders faced another wave of aggressive selling, which discounted the KCS coin price by 36%. The altcoin currently trades at $11.83 and retests the 0.618 Fibonacci retracement level.

Furthermore, the long-tail rejection attached to the May 12th daily candle indicates a strong demand zone across the $10.8-$9.5 mark. Therefore, if KCS buyers could sustain above these levels, history may repeat itself and trigger a fresh recovery rally.

The potential bull run would drive the KuCoin token price back to the $18 mark, offering 55% growth to long holders.

KuCoin Price Analysis – Technical Indicators

Relative strength index: The daily-RSI slope nosedived into the oversold region, that indicates the coin price has experienced a sudden and unhealthy drop. This overextended selling may lure more buyers, bolstering the recovery theory. 

EMAs: The flattish 100-and-200-day EMA reflects an overall sideways trend for KCS, while the downsloping 20 and 50 EMA accentuate the ongoing correction. Anyhow, buyers should keep a close eye on these EMAs as they may act as potential resistance.

• Resistance levels– $17.1-$17.5 and $19
• Support levels– $16, $15