Algorand downtrend is seemingly coming to an end as prices are gradually stabilizing around certain marks. During the last three days, the price declines are less as the losses in two days were less than 4%.
One significant event took place two days ago when the asset started exchanging at $0.25. For the first time within the last five days, it attempted $0.26 but faced strong rejections. This comes barely a day after it rebounded $0.22.
During that period, the altcoin started trading at $0.25. However, it faced massive price declines as the crypto market continued its bearish trend. This time it tested and briefly broke $0.22. It started recovering and closed at $0.23 which represents a more than 8% drop.
Following the rebound, over the last two days, it found support around $0.23. With this action gradually becoming a trend, the cryptocurrency is gradually seeing stability. The Relative Strength Index also agrees with this claim. Selling volume is also reducing as ALGO remained above 45 over the last three days.
Following such massive declines, stability may mean the halt of the decrease. It could also signify that the asset is gearing up to resume its uptrend.
Algorand Maintains Bullish Posture
During the previous uptrend, the altcoin peaked at $0.32. Following this height, it lost more than 18% in three days as it found support at $0.26. After a short break, it continued downwards as it lost more than 16%. In total, from the peak to the low, ALGO lost more than 30%.
Despite this drop, indicators like the Moving Average Crossing showed that algorand is still bullish. This comes after the 50-day MA served as a critical support. Three days ago, the asset price decline halted after coming in contact with the said metric. With the reading from this momentum indicator, it is safe to conclude that the asset will resume its uptrend soon.
If this happens, one of the key levels to watch is the $0.32 resistance.
