Algorand Price Slowly Moved Up, Will The Bulls Stick Around?

While Algorand’s price was trying to make it through these turbulent waters, the price of the coin has moved against market movements.

Algorand gained 2.2% in the past 24 hours. This means that ALGO remains stuck in consolidation. ALGO has risen by 3% in the last week.

This also signalled that the altcoin hasn’t made significant upward movement on the chart. This technical indicator indicated that the bulls were still at the top.

Although buyers outnumbered sellers in this market, technical analysis indicated that bulls were likely to soon lose their grip.

ALGO’s demand has slowed, suggesting that ALGO sellers will soon be in control. This would lower the altcoin’s price to its support level.

Support zone for altcoin was between $0.33 and 0.27. This means the altcoin will be moving near $0.31 in price because of falling demand.

Algorand Price: A Day Chart

Algorand Price
The price of Algorand was $0.34 per day | Source: ALGOUSD on TradingView

At the time this article was written, ALGO was traded at $0.34. It was in an ascending channel when it broke out but was not able to increase its value due to lower demand.

The coin’s immediate resistance is $0.40. A push higher than that might help bulls stay around longer.

However, local support stood at $0.31. ALGO’s value will fall to $0.27 from its $0.31 price.

It was evident that the amount of Algorand being traded during the session fell significantly, which suggests a slowing in buying power.

Technical Analysis

Algorand Price
Algorand saw a decrease in its buying power on the single-day chart. Source: AlgoUSD at TradingView| Source: ALGOUSD on TradingView

ALGO’s technical indicators showed that the buying strength was falling on the chart. The upcoming bearish sentiment was not yet displayed by the indicators.

Relative Strength Index was at or above half-line. This meant that buyers still had control over the market.

A steep decline was also seen in the indicator, which suggested that the future trading sessions might be managed by sellers.

Algorand prices were still higher than the 20-SMA lines, which indicated buyers are driving price momentum. Continued fall in demand will cause the price to drop below the 20 SMA level.

Algorand Price
Source: ALGOUSD on TradingView| Source: ALGOUSD on TradingView

Other indicators agreed with major indicators that market selling strength would soon overtake.

Moving Average Convergence Divergence signals price action and momentum. MACD showed green histograms which indicated a buy signal.

The chart showed that these green histograms were decreasing, which indicated that bullish activity was losing steam.

Directional Movement Index measures the direction of price movement. DMI was positive, with the +DI line higher than the -DI. Red indicates a decrease in price momentum. The Average Directional Index was lower than 20.

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