Being one of the most bearish tokens of 2023, the ALGO price trend continues to breach multiple demand belts. The multiple lower highs lead to a prominent resistance trendline in the 1-day chart.
The ALGO coin price is trading close to its all-time low of $0.08846 with a 97% discount of its all-time high of $3.28. With such steep correction and losing most of its gains, will Algorand make a comeback?
Algorand carries the aura of a scholar’s blockchain as it was founded by an MIT professor, Silvio Micali. However, the cruel bear markets led ALGO prices to a new all-time low in 2023 with a downtrend of almost four years.
In the 1-day chart, the ALGO price action displays the $0.091 support level becoming a new safe haven for bulls. Avoiding multiple breakdown attempts, buyers at $0.091 are preparing to challenge the resistance trendline for the second time.
Moreover, the short-term price trend displays multiple Doji candles forming at the base, reflecting neutrality. Generally, a Doji candle at notable price levels reflects a reversal possibility, however, a loss of momentum in Algorand can lead to a growth in fear. This may lead to a breakdown.
The ALGO price currently trades at $0.42 with minimal intraday growth, teasing a bounce back shortly.
Coming to the technical indicators, the growing bullish divergences in momentum indicators reflect a comeback for Algorand. The daily RSI line maintains a positive trend during the consolidation, and the MACD lines rise with a positive crossover.
Will ALGO Price Rise Above $0.10?
For the ALGO price to reach the $0.10 mark, the resistance trendline breakout is a must. Therefore, if the bulls extend the rally beyond the immediate resistance, Algorand’s uptrend might prolong beyond $0.1089 and end 2023 on a bullish note.
On the flip side, a higher price rejection in ALGO prices from the resistance trendline can start a new breakdown rally. Traders can expect the ALGO prices to create a new bottom at $0.081.
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