DASH Technical Analysis – The Bears Take Control – 23/03/2018
The cryptomarket sees red ahead of the weekend, as negative news hits the wires again through the middle of the week. DASH saw lighter losses than its peers through the morning, though support levels will likely be tested through the day.
Key Highlights
- Dash slid 5.4% on Thursday, to reverse Wednesday’s 1.48% gain.
- A bullish trend formed from Sunday’s swing low $315 reversed from Wednesday’s swing hi $451.85 and remained intact through Thursday
- Thursday’s intraday low $394.44 fell through the day’s first major support level of $419.32 and 2nd support level of $404.53, leaving resistance levels untested through the day.
How to Buy DASH: The Complete Guide
DASH Price Support
Dash fell by 5.4% on Thursday, with the first half of the week’s bullish trend formed in response to relatively positive news from the G20, reversing on Wednesday, pulling Dash into the red through Thursday.
An early intraday high $439.3 failed to test the day’s first major resistance level of $450.38, affirming the bearish trend formed from Wednesday’s swing hi $451.85.
Downward pressure remained on DASH through Thursday, with concerns over regulator action on Binance in Japan and the South Korean government’s plans to investigate banks on adhering to cryptocurrency related AML procedures weighing heavily through the late part of the morning.
DASH slid to an intraday low $394.44, falling through the day’s first major support level of $419.32 and 2nd support level of $404.53, with support coming in at the day’s 38.2% FIB Retracement Level of $399.57.
The good news for DASH investors was a recovery to $400 levels on the day, though with negative sentiment weighing on the cryptos and resistance levels untested, a reversal of the bearish trend was unlikely to kick in this morning.
The bearish trend remained intact through the early part of this morning, with DASH falling 3.3% to $396.27 at the time of writing.
An intraday low $393.4 managed to avoid testing the day’s first major support level of $390.30, with an early morning high $414.18 that saw DASH move through the day’s 23.6% FIB Retracement Level of $407.99, ultimately coming under selling pressure on approach to the day’s 38.2% FIB Retracement Level of $416.37.
For the day ahead, a move back through to $400 levels would support a run at the morning’s high $414.18, though we will expect sellers to be lined up at the 23.6% and 38.2% FIB Retracement Levels, barring a material shift in sentiment across the broader market.
Failure to break through to $400 levels will likely see the day’s first major support level be tested later in the day, bringing the 2nd support level of $369.94 into play before the close.
DASH may be the pick of the pack this morning, but with investors unable to shake off the negative news from Thursday, we will expect the bearish trend to continue into the weekend, investors likely to be in the hope of yet another weekend rally to save the market from another week of losses.
Looking at the Technical Indicators
Major Support Level: $390.30
Major Resistance Level: $435.17
Fib 23.6% Retracement Level: $407.99
Fib 38% Retracement Level: $416.37
