Kaspa (KAS) Hits Key Support After 30% Drop — Reversal Signs Emerging

Key Takeaways

• Rebound from $0.10 led to a new all-time high at $0.20.
• Key indicators suggest potential reversal after consolidation.
• A break above $0.16 signals a bullish trend; below $0.12 is bearish.

After reaching an all-time high of $0.20, the price of Kaspa (KAS) started a correction, which may have ended on Oct. 10. Signs of a potential reversal are emerging.

Still, more confirmation is needed to validate the start of a new uptrend. Key levels at $0.12 and $0.16 will provide further insight into KAS’s next move.

Kaspa Price Analysis

KAS reached its all-time high of $0.18 on Feb. 20, marking the end of a strong uptrend from $0.012 in May 2023. However, after encountering ascending resistance for the second time, the price was rejected, leading to a significant pullback.

The correction caused KAS to drop over 45%, bottoming at $0.10 on May 1. Since then, the price has rebounded by more than 105%, breaking past key resistance levels and reaching a slightly higher new ATH of $0.20 on July 31. 

A bounce from key ascending support supported the rebound, and the Relative Strength Index (RSI) on the daily chart fell to 38%.

While not technically oversold, similar RSI levels have historically preceded KAS price reversals.

Despite the upward momentum, KAS barely reached the prior high before returning to ascending support. Even though a higher high was made, this is considered part of a corrective structure after its February peak. 

On Oct. 10, the price landed at $0.12 and started consolidating. It is currently trading at $0.13. The RSI and MACD indicate a reversal. 

KAS Price Prediction 

Zooming into the 4-hour chart, we can see that the wave structure supports the case of a reversal. Since its all-time high, we saw a three-wave move labeled as an ABC correction, with its C wave being the last downtrend from the Sept. 15 high of $0.18.

We can spot a five-wave sub-division in its lower degree structure until Oct. 10, suggesting that the downtrend ended.

Since a symmetrical triangle formed afterward, it further strengthens the assumption, as these triangles imply price consolidation.

Should the price break into the upside, a new five-wave impulse will be anticipated to develop. 

Our first target is set at $0.16 at the horizontal resistance zone. If a rejection causes a pullback that ends as a higher low above Oct. 10, it could provide further insight into a more significant uptrend in development. 

However, if the price breaks down to the downside below $0.12, it could mean KAS has more downside ahead. 

Read more: Kaspa Price Prediction 2025: KAS Price Analysis