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BAT TOKEN Price Analysis: BAT token price is hovering around the demand zone, as it forms a reversal chart pattern will it give a breakout?

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  • The BAT token price is trading at the supply zone on a daily time frame.
  • The BAT token price is forming a rounding bottom pattern on a daily time frame.
  • The pair of BAT/BTC is trading at the price level of 0.00001464 with a decrease of -0.12% in the past 24 hours.
Source: BAT/USDT by tradingview

The BAT token price is trading near the supply zone on a smaller time frame while on a larger time frame the token price is hovering around the demand zone. The BAT token price is trading above the long-term demand zone, as it bounced off strongly. The token price has managed to sustain above the demand zone despite the strong bearish sentiments or emailing in the market. The BAT token price is making higher high and higher low formations on an hourly time frame. While on a higher time frame the token price is still forming lower low and lower high formation. At present, the token price is trading below the 50 and 100 Moving Averages. The token price has fallen below the 50 and 100 moving averages following the bearish trend. Moving upwards the token price can be seen facing strong rejection from these MAs. The token price has also failed to surpass the upper band of the Bollinger band as it trees in the middle of it. Volumes have increased leading to an increase in volatility therefore Investors should remain cautious and wait for a clear trend. 

The BAT token price is forming a rounding bottom pattern on a daily time frame 

Source: BAT/USDT by tradingview

Supertrend: The BAT token price has turned bullish as it managed to surpass the supply zone forming a strong bullish candlestick pattern on an hourly time frame. Recent bullishness resulted in the BAT token price rising above the important short-term demand zone. Previously the BAT token price was resting in the super demand zone. Despite the rise in the token price it has failed to surpass the super trend sell line which was acting as a strong supply zone. Moving upwards the token price can be seen facing strong bearish pressure from the super trend sell line if bulls fail to overpower the bears.

Moving Average Convergence Divergence: Recent movement in the price of BAT tokens seems to be bearish on the weekly time frame as the MACD indicator has triggered a negative crossover. The orange line crossed the blue line on the downside indicating bearish momentum in the upcoming days. If the token price can sustain above the current short-term demand zone, then the MACD indicator can be seen to turn positive. If the BAT token price fails to hold the current price levels and falls below the demand zone, the MACD line can be seen widening supporting the breakdown.

Average Directional Movement Index: The BAT token price has been on a rise for the past couple of days and recently it started consolidating near the supply zone. As a result the ADX curve also fell, depicting the consolidation. Moving upwards if the token price can sustain above the demand zone, the ADX curve can be seen dipping out of the 25 mark, as the token price breaks the supply zone. If not, then the token price can be seen falling leading to the ADX curve falling further. 

CONCLUSION: The BAT token price is hovering around the supply zone on a daily time frame. As per the price action, the token price is forming a reversal chart pattern. The technical parameters are indecisive due to sideways movement. It remains to see if the token price will break the chart pattern on the upside or break the demand zone. 

SUPPORT: $0.30 and $0.29

RESISTANCE: $0.32 and $3.40

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