Dash on Saturday continued to trend upwards amid a strong buying sentiment phase that started mid-week. The DASH/USD pair on Wednesday has established its weekly low towards 156.60-fiat. After that, the pair underwent a decent recovery towards 186.70-fiat intraday high, crossing through crucial resistance areas…
Dash on Saturday continued to trend upwards amid a strong buying sentiment phase that started mid-week.
The DASH/USD pair on Wednesday has established its weekly low towards 156.60-fiat. After that, the pair underwent a decent recovery towards 186.70-fiat intraday high, crossing through crucial resistance areas during the Thursday’s trading session. The sentiment continued to flourish despite some bearish hiccups towards 171.00-fiat on Friday. And now, in the past 24 hours, DASH/USD has managed to record a new intraday high near 196.30-fiat.
The latest Dash rally owed credits to its newfound membership with a South American mobile company. Krypto Mobile Corporations, a startup in a traditional sense, has integrated a Dash payment option to its crypto-enabled mobile phones. The company is heavily active in cash-deficit regions in Latin America, including the hyperinflation-stuck Venezuela. By proposing merchants and users with an option to choose Dash over their non-reliable Bolivar, the company has breathed a fresh bullish sentiment in the Dash community.
Dash against other coins has emerged as a go-to cryptocurrency in Venezuela. Dash Force News reports that out of 3,000 merchants listed on Krypto Mobile Corporations service, 1,375 are from the South American nation. While Bitcoin and Bitcoin cash adoption continues to decline, no such decline has been noted in the case of Dash, hinting that the coin has mousetrapped the Venezuelan market.
A pump is not a new thing in the crypto-market. So, we shouldn’t be excited – at least for now. The DASH/USD pair has reached towards a potential breakout/pullback point, coinciding with the 61.8% Fibonacci retracement level of the last swing from 223.49-high to 156.60-low – at 197.94. Psychologically, we are looking at the pair to test 200-fiat as a potential resistance, while finding a nearby support level at 190.04-fiat.
A long position at this point in time looks risky, but in case there is a breakout scenario, DASH/USD could test 212-fiat as the next upside target. If anybody out there is wondering to go long now, s/he should be keeping the stops around 4-dollar below the entry point.
In case of a pullback, which we believe has more probability, DASH/USD would first make run towards its interim support. If that is broken to the downside, the pair could find some weak support towards the rising trendline depicted in orange. The line also signified a potential breakout level. So, if the price breaks below it, we might be looking at a free-fall towards 170.67-fiat, also marking the completion of a potential Head and Shoulder pattern, with 170.67 being the neckline.
Featured image from Shutterstock. Charts from TradingView.
Last modified: January 24, 2020 11:00 PM UTC