Algorand (ALGO) made a failed attempt to start an uptrend reversal on June 15 and produced a long wicket above.
Algorand has fallen since reaching an all-time high of $2.99 on November 18, 2021. The bearish move so far has resulted in a low of $0.27 on June 15, 2022. That's down 89 percent from an all-time high.
More importantly, the price broke out of the $0.70 horizontal zone in early April.It then confirms the area as resistance (the red symbol) and breaks out of the ascending long-term support line at the end of the month.Before the incident, the line had been operating for 791 days.
If the downtrend continues, the nearest support zone will be found at $0.20.
ALGO is declining.
ALGO enthusiast @Crypt0forchange tweeted about an ALGO chart, saying that despite the slight increase, the daily candlestick is shaping up to be bearish.
In the daily time frame, the price has been declining gradually since May 12. It is possible that the reduction was in a descending parallel channel.
While ALGO tried to start an upward movement on June 15, it was rejected by both the channel's resistance line (the red symbol) and the $0.36 horizontal zone, creating a long upper wicket in the process.This is a bearish sign, as the $0.36 zone is now expected to act as a resistance.
Furthermore, the RSI is below 50 and does not produce any kind of bullish divergence. So it is possible that the price will continue to fall to the previously outlined $0.20 horizontal zone. A problem from the current descending parallel channel will confirm this possibility.
