IOTA token price analysis: IOTA token is in a frenzy as the price falls back to the important demand zone, what happens next?
- IOTA token price is in a downtrend after breaking the important demand zone on a daily time frame.
- The token price has formed a falling wedge pattern on daily time frame.
- The pair of IOTA/BTC Is trading at the price of 0.00001286 with an increase of 0.55% in the past 24 hours.
IOTA token price, as per the price action, has fallen back to the demand zone on a daily time frame. Currently, it is trading below the supply zone. As of now, the IOTA token price has started consolidating at the demand zone. The IOTA token price can be seen resting at the demand zone for quite a time now. If the token price is successfully able to bounce off the demand zone, it can be seen rising higher. The token price has started forming lower high and lowerlow formation on a daily time frame. The breakout of the long-term supply zone on a daily time frame can result in the token price moving higher up. The IOTA token price is trading below the important 50 and 100 Moving Average. Recent breakdown has led to a rapid bearish rally and therefore the token price can be seen facing strong bearish pressure at the 50 and 100 Moving Averages. The IOTA token price has also gone past the 14 SMA as a result it bounced off the small-term demand zone. The token price is currently trading at the lower band of the Bollinger band indicator after failing to surpass the upper band. Volumes have increased during the breakout and thus investors should wait for it to cool down and then act accordingly.
The IOTA token price is forming a falling wedge pattern on a daily time frame
Average Directional Movement Index: ADX curve has been dipping on a weekly time frame as the token continues to fall. In an hourly time frame, the ADX curve has dipped out of the 20 mark and has turned upwards. As seen in the 4-hour time frame the ADX curve is consolidating as the token price consolidates. As the token price hovers around the demand zone, the ADX curve has pointed upside. Investors should wait for a breakout of the supply zone with a positive candle formation.
Relative Strength Index: RSI curve is trading at the level of 44.75. The RSI curve is yet to cross the halfway mark of 50. Once the token crosses the supply zone, the token price can be seen moving up with strong bullish momentum. The RSI curve has crossed the 14 EMA yellow line indicating a short-term bullishness. Once the RSI crosses the halfway mark of 50 the IOTA token price can be seen breaking the supply zone, supporting the trend.
Supertrend: The IOTA token price has fallen back to the demand zone on a daily time frame. As a result, the token price gave a breakdown of the super trend buy signal line. This line was acting as a strong demand zone for the IOTA token price. Since then the IOTA token price has been in a strong downtrend. Moving forward the token price can be seen facing strong bearish pressure of the supertrend sell signal line.The breakout of the supply zone can result in the formation of supertrend buy line.
CONCLUSION: IOTA token price is in a strong uptrend. Price action suggests the same as the token price breaking the important supply zone. The technical parameters are also bullish supporting the trend on a daily time frame. Investors should wait for a breakout of the falling wedge pattern on a daily time frame and then cat accordingly.
SUPPORT: $2.30 and $2.10
RESISTANCE: $2.70 and $2.90