The Namecoin / Bitcoin pair lost all the bullish sentiment on June 23, 2017, when it produced a lower maximum at 0.001388. This may not be easily recognizable in the diagram, but the lower maximum creates a bearish structure of the head and shoulders. On July 19, the market really went down in a downtrend when it overcame critical support at 0.00085.
The pair sank, as it broke support levels at 0.0005 and 0.00033 with minor problems. In the end, in October she installed support at the level of 0.00017. The market, consolidated at this level, until the sharp rise in prices and volume on December 13, revived it. A month later the market reached the level of 0.00059048. As expected, the bears took advantage of the ascent. The market retreated, which is a good chance to buy cheaper.
Technical analysis shows that the pair creates a bullish high minimum of 0.00033. In addition, the Bollinger lines begin to decline. This is a sign that the consolidation period is almost over. In addition, a decline in volume over the past eight days indicates that sales pressure is declining. If sales are weak, then it forces buyers to raise prices.
The strategy is to buy as close as possible to support 0.00033. We're playing for a jump, so our goal is resistance at 0.0005.
Namecoin / Bitcoin daily schedule for Poloniex
At the time of this writing, the Namecoin / Bitcoin pair is trading at 0.00033969 at Poloniex.
