Waves Protocol Looks Trapped In A Cage, Can Price Break Above $6?

Waves Protocol Looks Trapped In A Cage, Can Price Break Above $6?

The Waves protocol (WAVES) price has remained in a channel against Tether (USDT) as it attempts to break out of this trend. Despite the recent shift in the market trend, Waves protocol (WAVES) has shown little to no significant movement, as many altcoins rallied and produced double-digit gains. (Binance data)

The Weekly Chart Analysis For WAVES Protocol (WAVES)
Weekly WAVES Price Chart Analysis | Source: WAVESUSDT On Tradingview.com

According to the chart, WAVES hit a weekly low of $4.2, then bounced back to $5. Considering its all-time high of more than $60, this isn’t much of a movement.

The weekly candle for WAVES closed with a bearish sentiment, while the new week’s candle appears bullish for price recovery.

The price has struggled to gain traction as it attempts to break out of the $4-$6.3 price range.

If the weekly chart of WAVES maintains this structure, it could quickly return to its low of $4, acting as support. WAVES must maintain this support zone to avoid falling below.

Weekly resistance for the price of WAVES – $6.3.

Weekly support for the price of WAVES – $4.

Daily (1D) WAVES Price Chart Analysis
Daily WAVES Price Chart Analysis | Source: WAVESUSDT On Tradingview.com

With more buy orders, WAVES price could break to the upside after forming a range in a channel; a breakout and retest above $6.3 would indicate a continuation of the uptrend.

The price must break out with sufficient volume to form support above the ranging channel to confirm bullish sentiment.

WAVES price has shown a slight bullish structure, ranging in a channel; if bulls step in, WAVES’ price could trend higher to a region of $10, acting as key resistance on the daily timeframe.

WAVES is currently trading at $5.1, just below the 50 Exponential Moving Average (EMA) of $5.7.

The Relative Strength Index (RSI) on the daily chart is above 40, indicating minimal buy orders.

Daily (1D) resistance for WAVES price – $6.3.

Daily (1D) support for WAVES price – $4.3.

Price Analysis The Four-Hourly (4H) Chart
Four-Hourly WAVES Price Chart Analysis | Source: WAVESUSDT On Tradingview.com

The price of WAVES has continued to struggle below the 50 and 200 EMA prices, which correspond to $5.1 and $5.5, acting as resistance, respectively.

WAVES needs to break above the 50 and 200 EMA to assume a bullish sentiment; If WAVES fails to break and hold above the prices of $5.1 and $5.5, acting as a resistance level, the price of WAVES may retest the $4 support levels.

The 4H volume shows more sell orders and buys orders needed to push the price out of the range.

With the use case of WAVES, it could do well over time.

Four Hourly (4H) resistance for WAVES price – $5.1, $5.5.

Four Hourly (4H) support for WAVES price – $4.

Featured Image From zipmex, Charts From TradingView.com 

 

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