If you’re looking for a potential entry point, the current setup presents a compelling case to heavily long. Let’s break down the technical and fundamental factors that suggest an upward reversal could be imminent:
Fundamentally Strong Asset
The foundation of any trade starts with the fundamentals. This asset has strong underlying value, making it more likely to recover after recent volatility. It’s crucial to align technical indicators with the strength of the asset’s intrinsic value.
Significant Drop Within 3 Days
A sharp decline over the last three days indicates potential overselling. Rapid price drops often bring assets into undervalued territory, creating an opportunity for a strong bounce, especially when combined with key support levels.
Triple-Tested Support Line
The price has tested the same support level three times, which strengthens the credibility of this level as a firm floor. Repeated tests without a breakdown often signal a potential reversal, as sellers struggle to push the price lower.
Outside Bollinger Bands
The current price is trading outside the lower Bollinger Band, a classic sign that the asset is oversold. This indicates that bearish momentum could be exhausting, and a mean reversion back to the center of the bands is likely.
Below All Moving Averages (MAs)
The price is sitting below all major Moving Averages (e.g., 50 MA, 100 MA, 200 MA). While this may seem bearish at first, it also shows the asset is in an extreme position, making it ripe for a snapback rally when momentum shifts.
MACD and RSI Signaling a Turnaround
Both MACD and RSI are signaling potential bullish momentum: MACD: Shows signs of convergence or a potential crossover, often a precursor to upward momentum. RSI: In oversold territory, suggesting the asset is undervalued and due for a recovery.
Too many factors are saying that we should be bullish. Time term > could be short and long depending on your needs. You can enter as investor into TON ecosystem too, so in case bad trade you can just DCA.
Target > to get 100% Entered with Binance x25 leverage Margin 30$ Total size 770$