In my previous Factom analysis article on the 17th, I outlined the technical significance of the 0.0033 level, and speculated that the market may find support there in the future. On the 18th, the exchange rate dropped to 0.0033 and immediately bounced higher on a volume 255.13 BTC. Therefore, the 0.0033 level has now become a major pivot zone!
The 0.00375 has also become a prominent technical level since the 17th, as this area has acted as support about three times.
Price is now essentially trapped between support at 0.00375 and resistance at 0.0046. The 0.0046 level has acted as support on the 15th of March, but when price approached 0.0046 from below on the 19th, 0.0046 acted as resistance. The market is approaching 0.0046 again, and I would think that this level is going come into play. If price can close above 0.0046, a rally towards the big pivot zone at 0.0052 would not be out of the question. Every trader should have these areas marked on their charts!
On the 19th, the trend line was also broken! So, from a technical viewpoint: the downtrend is over.
Disclaimer: This is not trading/investment advice!
Chart Source: https://poloniex.com/exchange#btc_fct
If you liked this article follow us on twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.