The price of Decentraland is just above two important moving averages.
Following the most recent surge, the volume profile indicator displays a tapered appearance. A break below $0.61 constitutes the bullish argument being refuted.v The price of Decentraland may rise once further to counter freshly formed shorts.
Decentraland's pricing has room to rise.
The price of Decentraland (1) may be preparing for a countertrend rally with the September highs as its goal. The Ethereum-based gaming coin saw a 23% increase last month, reaching a last-minute October high of $0.73. Despite the market's current sell-off caused by profit-taking actions, there are some indirect signs that another wave may come. The 2020 triangle apex would be particularly important, between $0.78 and $0.80.
What's next?
The current MANA price auction is $0.65. Following October's last-minute spike, profit-taking consolidation has caused a 10% market value decline (2). According to the volume profile indicator, the sell-off is expected to eventually reverse as the bears have not yet generated a candlestick with a volume as high as the strongest bullish candles.
The support level is presently being challenged against the 8-day exponential moving average. If the bulls cannot maintain their position, the 21-day simple moving average will be tested at $0.63, resulting in a further 5% fall. Still, as long as the lows at $0.58 are not broken, the health of the uptrend will be unchanged. Traders should prepare for a further slide toward the 2020 liquidity levels of $0.50 if the bears manage to peg the lows. With such a change, the value would decrease by 23% from the present market value.
