Compound Prepares For A Major Rally To $80, Here Is Why

  • The daily price of COMP continues to rise above 50 EMA, as it approaches $80.
  • Bullish price holds above support points
  • Price ranges for COMP in an Asymmetric Triangle with High Buy Orders

Recent volatility in the Compound token (COMP) price is due to fluctuating price ranges. These price ranges form an asymmetric triangular triangle and are preparing for a rise to $80 against Tether (USDT). Although the cryptocurrency market is still in flux, Compound’s (COMP), price has been showing tremendous strength while it attempts to move out of its trading range. (Data source: Binance).

Weekly Chart: Compound (COMP Price Analysis 

Although the price fell from $850-$30, it was still more than 70% off its peak. COMP’s price showed great strength as it rallied from its weekly low of $30 to a high of $60 before failing to break above that region to higher heights.

As it has been unable to surpass the weekly resistance at $66, COMP’s price is still in an area of range. It could trend higher towards $80.

The COMP price should break above $66 to have the best chance of moving higher. Comp’s current price has established an uptrend line which is acting as support. Flipping this support into resistance will signify a stronger rebound for the COMP price.

We may be able to see COMP’s price range in this channel if it fails to overcome this resistance area.

Weekly resistance for the price of COMP – $66

Weekly support for the price of COMP – $40.

Comparative Price Analysis of COMP on the Daily (1D), Chart

Tradingview.com: Daily Comp Price Chart| Source: COMPUSDT On Tradingview.com

Prices are strong with a range of prices that form an asymmetric triangle and high volumes. The price was rejected at $65, but it remains in an area that is forming an Asymmetric Triangle. Volume has increased in anticipation for a breakout.

Comp’s price is trading at $61, much higher than the 50 Exponential moving average (EMA) and lower than the 200 EMA. This acts as support, but it also acts as resistance. The support price is $54, while $80-$86 represents the resistance.

For COMP to rise high, it must surpass this resistance.

Relative Strength Index, (RSI) COMP is greater than 60 on the daily charts. This indicates that there has been more purchase volume. 

Daily resistance for the COMP price – $66.

Daily support for the COMP price – $54-$45.

Featured image from zipmex. Charts From Tradingview 

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