Analysis
Is Kaspa crypto set for a breakout above $0.2 next, or can bears take control?
Posted:
Journalist
- KAS has a bullish market structure and strong upward momentum.
- The lack of buying pressure compared to earlier in June could impede the bullish progress.
Kaspa [KAS] saw a 24.6% move in the past week. The trend behind Kaspa crypto has been bullish since mid-May after the $0.13 level was flipped to support.
At press time, the $0.184 was the next resistance level to watch out for.
The trading volume did not rise as strongly this time as in early June, when prices rallied from $0.13 to $0.191.
This presented the likelihood that KAS might for a range and form a local top at the $0.184- $0.193 region.
The Fibonacci retracement levels showed the uptrend was healthy
Source: KAS/USDT on TradingView
Based on the January and February rally from $0.092 to $0.191, a set of Fibonacci retracement levels (pale yellow) was plotted.
In April, the 78.6% level was tested as support, and a drop to the $0.106 area occurred as the price searched for liquidity.
The $0.13 zone was retested in mid-June, and it served as a strong support. From here, a strong short-term rally was initiated.
This saw the daily RSI jump back above the neutral 50 mark to indicate bullish momentum.
However, the OBV was unable to clear the two local resistance levels that stretched back to April.
This was a sign that buying pressure was not steady enough to support the uptrend, which reinforced the idea that KAS might establish a range between $0.191 and $0.13.
The liquidation heatmap highlighted where prices might go next
Source: Hyblock
In mid-June, the $0.12-$0.14 region was tested. A cluster of liquidity in that region was taken out, and this offered Kaspa crypto the space and ammunition to climb higher in search of the next large pocket of liquidity.
Read Kaspa’s [KAS] Price Prediction 2024-25
The $0.196 and $0.2 zone is likely to attract prices as it is a magnetic zone with considerable liquidity. It also lies just above the previous local high at $0.193.
Therefore, the possibility that KAS would form a range is strengthened.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
