What Next After a 30% Jump in Huobi Price?

Following the June end sell-off, the HT/USDT pair cushioned at the $4.3 mark, which supported the price for the past seven weeks. During this period, the technical chart revealed the formation of a descending triangle pattern and threatened further price fall. However, while the crypto market is making recovery efforts, the HT price gave a bullish breakout from this triangle on August 10th.

Key points 

• Today’s candle closing is important for buyers to validate a potential rally in the near future.
• A breakdown from $4.66 would indicate weakness in buyers’ commitment.
• The intraday trading volume in the HT is $42 Million, indicating a 273% gain.

Source- –Tradingview

Amid the pattern breakout, fresh news that Huobi’s founder seeks to sell a 60% Stake triggered a significant price jump in the last 24 hours.

Anticipating the new shareholder will allow the exchange to gain more power and resources; the HT price surged 30% earlier today. The massive bullish engulfing candle breached the $4.66, $4.93, and $5.6 barriers in one strike.

However, the profit booking from short-term traders has reflected a long-wick rejection and pulled the altcoin to its current price of $5.29. Thus, coin traders should keep an eye on the daily candle closing, which would bolster further growth potential for HT price.

If the coin price gives a candle closing above the $4.93-$4.9 level, the buyers will obtain a suitable footing to sustain the higher price levels. Furthermore, a retracement to the $4.9 mark is plausible after the sudden price jump, which may offer an entry opportunity for sidelined buyers who missed today’s run-up.

Thus, if the altcoin shows sustainability above the aforementioned level, the post-retest rally may rechallenge the $5.6 resistance. A breakout from this level will extend the recovery to the next significant supply zone at $6.

Technical Indicators

EMAs: today’s price has reclaimed the 20-and-50-day EMA slope, offering an extra edge to coin buyers. Moreover, these breached EMAs are likely to flip to viable support levels.

RSI indicator: The daily-RSI slope surged into the overbought region, indicating the trader has overextended their buying in quite a short period. Thus, the momentum indicator supports a reversal to the $4.9 support level.

• Resistance levels- $5.6 and $6
• Support levels- $4.9 and $4.66