EGLD Fence: Is the Egold ready for a lightning-fast climb?

The state of the current market does not help the case of altcoins. EGLD the Elrond token is no exception to the rule. With a 93% drop from its all-time high, we can say that the sky has darkened slightly. However, since the beginning of June it seems to have reached a rather stable price zone. Since the end of June, therefore, EGLD has fluctuated between 49 and 63 dollars. Ranges are fairly simple structures to analyze in general, so last night’s EGLD close can give us some clues as to the behavior of the price ahead.

This EGLD analysis is offered to you in collaboration with the Coin Trading and its algorithmic trading solution finally accessible to individuals.

EGLD fence: a welcome boost!

As stated earlier, we can see that EGLD has moved into a range since the end of June. This range is in the $ 49 to $ 63 price range. You can see that he is quite respected. When the resource touches a terminal and is rejected, it will directly visit the opposite terminal. The day before yesterday, the price rejected the lower limit which acts as a support. So, if the logic of the range and the past few days continues, we could then see an EGLD return to visit $ 63.

Price of EGLD against the dollar (1D)

Obviously this needs to be correlated with Bitcoin news and progress in order to bring some granularity to my point. Take a closer look at last night’s close, the Fed’s speech, the rate hike again pushed Bitcoin, ETH and many altcoins higher. All of this led us to the conclusion of EGLD which packs the last big bearish candle! So I expect we will test the upper limit of the range again. I do not exclude, in the event of a break in the range, a wick on the Order Block placed at 69 dollars to drive out the liquidity of the shorts.

Two prices to be validated after yesterday’s close on EGLD

As we can see on the four-hour time scale zoom, although tonight’s close is encouraging, I still have two prices to break and validate to make sure I visit the upper end of the range. Indeed, these two prices define an uncertain price zone on this time scale. Given yesterday’s rally after Fed announcements, we really need to validate these prices before correcting.

Price of EGLD against the dollar (H4)
EGLD price versus dollars (H4)

From my point of view, the ideal climb to visit this top of the range would be to break these two prices, at $ 56 and $ 58, and retest them every time. This is what a healthy increase in the asset would do to recoup the $ 63. Beware, however, of the possibilities trick on these price breakouts. Especially since the $ 56 has already played the role of resistance in early July. We need to look at how EGLD will react to this price during the day. We can also zoom in further to try to identify new areas.

A resilient price in H1 before they can claim a real upside

By zooming in on the hourly scale, we can see the tough side of $ 56 even better. We can see that it has already acted as a resistance on the hourly candles six times. And we can see it was a support zone last week. It is therefore very important not to be rejected by this price. Unfortunately, as of this writing, the current hourly candle breaks the neckline of a double top.

Price of EGLD against the dollar (H1)
Price of EGLD against the dollar (H1)

If this neck line is broken and validated then I don’t think we will test the 56 dollars again and therefore even less the top of the range. Here we have three possibilities: test and break of $ 56, rejection of $ 56 and retest of the neck line at $ 54.5, direct break of the neck line. In the latter case, we will directly test the bottom of the $ 49 range. Then monitor this hourly unit. These two prices at $ 54 and $ 56 will give EGLD’s behavior for this day. An oscillation between the two cannot be ruled out.

The Elrond token entered a range in late June and has so far complied with the codes of this structure. However, last night’s close left EGLD in an undecided price zone. Oscillating between an old resistance and a double top that took shape in the night, EGLD’s behavior is undecided until we get out of this zone. However, an exit with zone validation will give us a clear direction of the asset.

Is it possible to be a winner every time? Whether the bitcoin price is in great shape or is experiencing turbulence, Coin Trading offers you to increase your chances of success. In fact, Coin Trading allows people to log in a trading tool 100% algorithmic and automated. True trend mechanism, follow our affiliate link to test this tool designed to adapt to market reversals and position yourself on the most dynamic crypto assets of the moment.

Leave a Comment