https://ift.tt/7mQY2xS price analysis: ALGO falls to $0.910 as bears dominate price action

TL;DR Breakdown

• Algorand price analysis suggests downwards movement to $0.900.
• The closest support level lies at $0.910.
• ALGO faces resistance at the $0.9500 mark.

The Algorand price analysis shows that the asset’s price action was rejected at the $1.10 mark and has fallen back to the $0.9100 support level. Furthermore, the strong bearish market sentiment suggests further downwards movement for the asset across the short term. However, the $0.900 mark provides key support to the price action.

The broader cryptocurrency market has observed a bearish market sentiment over the last 24-hours as most major cryptocurrencies observe negative price movements. Major players include SOL and AVAX recording a 9.00 and a 7.76 percent decline.

Algorand price analysis: Bulls rejected at $1.100

Across the technical indicators, the MACD is currently bearish as expressed by the red color of the histogram. Furthermore, the darker shade of the histogram shows that the indicator is suggesting an increasing bearish momentum at press time. As the buyers failed to defend the $0.9500 support level, the next support level at $0.900 is left vulnerable due to high selling pressure. 

The EMAs are currently trading low as the ALGO price observes net bearish activity over the past few days as the sellers caused the price to crash below $0.9500 mark. At press time, both the EMAs are moving downwards with a similar slope as the bears dominate the short-term charts causing a steady price decay. 

The RSI was trading high in the neutral zone until 8 February but now hangs close to the bottom line at 30.00 index units. The indicator hovers at 30.97 index units moving downwards, suggesting an entry to the oversold price region. Once in the zone, the indicator would issue a buy signal suggesting an undervalued ALGO price. 

The Bollinger Bands are currently wide and show further divergence as the bears tug on the indicator’s bottom limit. The indicator suggests an increasing ALGO price volatility across the short term with a falling support level at the $0.9118 mark. Currently, the indicator shows room for sharp bullish activity as the bulls fight back to defend the $0.9000 mark. 

Technical analysis for ALGO/USDT

Overall, the 4-hour Algorand price analysis issues a sell signal with 14 of the 26 major technical indicators showing support to the bears across the timeframe. On the other hand, only three of the indicators support the bulls, suggesting a low bullish presence in recent hours. Meanwhile, the remaining nine indicators sit on the fence and do not issue any signals at press time.

The 24-hour Algorand price analysis accentuates this sentiment and issues a sell signal with 15 major technical indicators suggesting downwards movement against only two indicators suggesting further upwards movement. The analysis reaffirms the bearish dominance while showing little to no bullish pressure across the mid-term charts. At the same time, nine indicators remain neutral and do not support either side of the market. 

What to expect from the Algorand price analysis?

The Algorand price analysis shows that after finding strong bullish support at $44 on February 3, the price action observed a spike rising to the $1.100 mark. However, the price action could not keep up the bullish activity and was rejected at the level, falling back to the $0.900 mark where it currently consolidates. 

Currently, traders should expect the Algorand price analysis to move downwards falling to the $0.900 support level. The bearish market sentiment and the technical analyses also reinforce this suggestion. However, further downwards movement is unlikely across the short-term as the bears seem exhausted at press time.