Published January 8, 2023
Following a steady downfall in December, the Theta network coin plunged to a new 2022 low of $0.715. However, with the recent uncertainty in the market, this altcoin switched to a lateral path and started consolidating in a short range. After more than three weeks of consolidation, the prices rebounded twice from the $0.715 level, indicating that buyers were well supported. In the daily time frame chart, this dual retest to the same level indicated the formation of a double bottom pattern.
- In response to a double bottom pattern, the $0.8 resistance breakout may raise the THETA by 8.75%
- The buyers’ failure to sustain above the $0.8 barrier could undermine the bullish thesis.
- The intraday trading volume in the THETA is $6.9 Million, indicating a 13% loss.
The double bottom pattern is one of the most commonly found bullish reversal patterns in the market bottom and provides an excellent entry opportunity for potential buyers. Amid the recent new year recovery in the crypto market, the THETA prices surged by 7.3% higher and reached the current price of $0.765.
With sustained buying, the coin price should rally ahead and challenge the neckline resistance of $0.8. Therefore, a potential bullish breakout from this resistance will accelerate the buying momentum and give a higher for buyers to continue their rally.
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This breakout could raise the THETA price 8.75% higher to hit the $0.87 mark.
On a contrary note, if the coin price were to rejection from the $0.8 barrier, the altcoin would remain trapped in the consolidation phase for a few more sessions.
Relative Strength Index: Contrary to the sideways price action, the daily-RSI slope rising higher indicates the growing bullish momentum in the market. Thus, this bullish divergence aligned with the reversal pattern mentioned above increases the likelihood of upcoming recovery.
EMAs: the rising coin price has recently reclaimed the 20-day EMA slope offering an extra edge for long buyers.
Theta Coin Intraday Price Levels
- Spot price: $0.767
- Trend: Bearish
- Volatility: Medium
- Resistance level- $0.8 and $0.87
- Support level- $0.757 and $0.71
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.