At the weekend, the price of Hive had increased dramatically. This rise has made many of us wonder about possible Hive price scenarios in the coming period. On this occasion, I decided to do a comprehensive technical analysis on Hive.
As can be seen in the chart below, the Hive price has been in an uptrend since June 21. The fact that the price is above the 100 and 200-days EMA and the RSI value has been above 50 for a long time are the technical indicators confirming that we are in an uptrend. The upside trend is a sign that the price direction may be up in the near term.
Support and Resistance Areas
The major resistance level ahead is located at the $0.87 level. It is also possible to think of this level as a region consisting of the 0.87-0.91 range rather than a line. The first attempt to cross this region was on April 26-27, 2020. Then, the price, which came to this resistance level 3 times in April 2021 and twice in September. Hope to cross this area in the next few weeks.
The resistance level is located in the $0.57-0.60 band. Last week, the price broke out of this zone and made a strong breakout to the upside. I have shown the support and resistance levels with thick lines in the chart below.
As seen in the chart below, the Volume Flow Indicator accompanies the rising trend. Therefore, we can say that the rise experienced is also supported by the volume.
The momentum measuring indicators MACD and RSI show that the momentum of Hive is strong. The RSI value is just above 70, which is the limit of the overbought level, but we know that during bull rallies the RSI can stay above 70 for a long time in the crypto world.
Multi Time Frame Analysis
The above analyzes were made on daily charts. Similar to the daily, we encounter a strong momentum in the analyzes made on the weekly charts. Weekly charts also confirm support and resistance points.
Momentum or volume in the opposite direction of the trend gives a clue that the trend may lose its effect. However, we do not currently encounter any convergence in Hive graphics.
I would like to summarize the main points I mentioned above in this section.
- Hive price is in an uptrend.
- The resistance zone is in the range of $0.87-0.90 and the support zone is in the range of 0.57-0.60
- Volume also confirms the rise.
- MACD and RSI momentum indicators point to strong upward momentum.
- The values seen in the weekly charts support the results in the daily chart.
- Momentum and volume indicators do not have convergence indicating the trend reversal.
To make a balanced assessment, I would like to mention possible risks.
- Bitcoin and Ethereum prices are 25% above their long-term 'fair value'. This means that prices are not cheap in the crypto world. However, this does not prevent prices from rising to much higher levels.
- The rapid rises in the last few days caused the price to rise well above the 20-day EMA. There may be a corrective move towards the 20-day EMA.
- For those who are considering buying, it is a problem for the price to be near a strong resistance point.
As a result, I am optimistic about Hive's price outlook. I do not plan to sell any of my precious Hive coins anytime soon, on the contrary, I continue to accumulate adding Leo and POB.
P.S.: I am not a financial advisor, and this is not financial advice. You better do your own research.
Cover Image Template Source: https://crello.com/