JASMY retests resistance after collapse – Next stop: $0.0125?
Traders have little reason to go long, unless they are scalping, and can use the downtrend to look to sell.
- Jasmycoin saw an 18% decline in the past three days, reinforcing the bearish structure.
- The $0.0125 level was the next support to watch.
Jasmycoin [JASMY] has shed 56% since the 1st of February. The sellers were in control. The defense of the $0.01713 level lasted seven days, but the bears emerged triumphant on the 4th of March.
Since then, Jasmycoin has retested the same level as resistance.
Most altcoins bleed against Bitcoin [BTC] in the long term. JASMY/BTC has been falling since mid-December and was below its November lows already. JASMY/USD is also trending downward, and fast.
JASMY falls nearly 20% after losing key support level
The RSI was obstinately below the neutral 50 level and has been since mid-December. This underlined the bearish momentum at play.
Each downward price leg has seen a retest of the previous HTF support, such as $0.038 and $0.032 (white boxes).
The $0.0244 and $0.0171 levels were the latest support-turned-resistances. The CMF was at +0.02, denoting a lack of significant capital outflows from the market.
Yet, this offered little hope to JASMY bulls in the face of the overwhelming downtrend.
The next support levels were at $0.0125 and $0.00083. The former was important in June-July 2022, and then again in February 2024. Perhaps the price descent would halt here- but traders must maintain a bearish outlook.
The Open Interest has also been in a downtrend since early February. This steady decline in speculative interest in recent weeks was indicative of bearish sentiment.
The 2-week liquidation heatmap showed that the liquidity cluster at $0.015 failed to halt the bears. Instead, the selling pressure forced prices lower quickly.
The absence of bidding and relentless selling highlighted the likelihood of further losses in the coming days.
The 2-week and longer-period heatmaps such as 1-month and 3-month highlighted the $0.02 and $0.025 levels as the strongest magnetic zones above price.
As things stand, it was highly unlikely that Jasmycoin would gravitate to these liquidity pools anytime soon. Traders have little reason to go long, unless they are scalping, and can use the downtrend to look to sell.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
