Chart Analysis 2017-12-28 - SBD Downtrend

It looks like SBD maybe be heading back to where it was a few weeks ago. I know I know, some of you are already hating me for saying that, but let's take a look at the daily chart to study a few indications supporting the downtrend.

SBD Chart Analysis

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• In the first wave pump that peaked on 8 December, SBD hit a high of $18.7 but closed at $12.9. However, the candlestick showed an overbought condition where it was way above the upper Bollinger Band (BB). Indeed, the price slowly went down to around $11, to regain on Peak B where it hit a high of $18.4 but closed at $14.1. What's important to understand here is not what the closing price was, but where it closed. Peak A closed above the upper BB, but Peak B closed below it. If the distance between the closing price and the upper BB decreases, this indicates a downtrend. For instance, Peak A was +$3.7 over the upper BB, while Peak B was -$3.8 below it. If there is a third peak in the future and the deviation leans toward a negative value, it may be another nail in the coffin.
• The second indication of losing momentum is the volume. It is clear that the high volumes in the beginning of the month looked encouraging, but after a week from the initial pump they quickly plummeted to a low volumes period. This means there isn't enough volume to sustain the price.
• The third indication is the MACD Cross-Over followed by a clear downtrend that is corroborating with a downtrending RSI.
• Also, we have highly volatile candles, i.e. too much speculation for an unsustainble price.

On the bright side, SBD has performed above expectations. The current price of $7.6 is still awesome for us, but I'm afraid the lambos will have to wait. I highly doubt we'll hit $20 anytime soon. Perhaps in a few months with another pump?

And finally, let's not forget the recent Bitcoin swings, which have affected the whole cryptocurrency market. That doesn't help the altcoins, because whatever happens with Bitcoin has repercussions on the whole space.

DISCLAIMER: I'm not a financial nor a professional adviser. I formulate my opinions based on my research and interpretation of market news and chart analysis. If you're not a professional investor, please educate yourself before doing any market trading and don't risk more than you can afford to lose.