Published 1 hour ago
On July 5th, the Convex Finance (CVX) price triggered a double-bottom pattern breakout as buyers pierced the $5.55 neckline. Moreover, if the coin price shows sustainability above this resistance, the accelerated buying momentum will propel the recovery march to the $9 mark.
Key points:
- The CVX price showed a weekly gain of 64.72%
- The post-retest rally of double bottom breakout should surge CVX by 51.5%
- The intraday trading volume in the Convex Finance token is $15.2 Million, indicating an 81% loss
Source-Tradingview
During June’s first half, the CVX/USDT pair witnessed a significant sell-off which plunged it to a low of $3.12. The following recovery attempt couldn’t surpass the $5.55 resistance but managed to breach a six-week-old resistance trendline.
Furthermore, the intense selling pressure in late June extended the trendline retest and plummeted the CVX price back to the $3.4-$3.12 support zone. However, the replenished bullish momentum at this level indicated the traders continue to accumulate at this support, triggering another recovery rally.
Moreover, a dual bullish reversal from the $3.4 mark and a failure to breach the $5.55 resistance relieved the formation of a double bottom pattern. As a result, the recent price jump has surged 78.25%, amid which the buyers gave a massive breakout neckline resistance($5.55).
Furthermore, the CVR buyers validating its sustainability above $5.55 resistance for the past two days, preparing for further rally. Thus, if they succeed, the altcoin may soar 51.5% to the $9 mark.
Technical analysis
The ongoing recovery has poked the upper band of Bollinger band indicators, accentuating the aggressive buyers in a short period of time. Such an act may encourage a minor pullback or price consolidation before the prevailing trend resumption.
The fast-moving 20-day EMA, which provided constant resistance to CVX price since Mid-April, witnessed a decisive breakout on July 5th. This breached resistance should act as viable support for any potential pullback to bolster the bullish rally.
- Resistance levels- $9 and $11
- Support levels- $5.56 and $3.4
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/cvx-price-analysis-reversal-pattern-breakout-may-shoot-cvx-price-to-9/