Triangle Pattern Triggers 24% Fall in SAND Price

The Sandbox(SAND) price gradually narrowed within the descending trendline and $2.5 crucial support. As the coin price reached the apex, the sellers took a significant lead and breached the support neckline($2.5). The expected retest phase should validate the triangle breakdown, offering a 24% fall towards the $2 physiological mark.

Key points: 

• The SAND buyers lost the crucial $2.5 support
• The 20-day EMA offers dynamic resistance to SAND price
• The 100-and-200-day EMA nearing a bearish crossover
• The intraday trading volume in SAND price is $409.6 Million, indicating a 10% loss.

Source- Tradingview

The SAND/USDT technical chart showed a descending triangle pattern in the daily time frame chart. The coin price formed new lower highs within this pattern, reflecting the losing bullish momentum.

Furthermore, the buyers have defended the $2.5 support since last quarter, indicating a strong accumulation zone for traders. However, with the recent sell-off in the crypto market, the SAND price is down by 5% today and breached the bottom support($2.5).

Therefore, a daily-candle closing below this level would project a breakdown opportunity with the post-retest rally to drop 25% lower to $2 psychological support.

However, even if the SAND sellers couldn’t sustain below the $2.5 mark, the buyers need to breach the dynamic resistance trendline to confirm a bullish recovery.

Technical indicator

The Bollinger band indicator accentuated the narrowing range within the triangle pattern. Furthermore, the SAND price breached shared support of $2.5, and the indicator’s lower band provided an extra edge for short-sellers. 

The SAND price trading below the downsloping crucial EMAs(20, 50, 100, and 200) projects the sellers have the upper hand.

Moreover, the vortex indicator escapes from a bullish crossover between the VI+ and VI- line and undermines the buyer’s attempt to regain trend control. The increasing gap between these lines suggests strong selling in the market. 

• Resistance levels- $2.5,and $3
• Support levels- $2 and $1.5

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

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.