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REEF Price Analysis: REEF Token has broken down from the head and shoulders pattern

  • REEF Token Price has taken support at the long-term support level of $ 0.012
  • The token earlier formed a bearish head and shoulders pattern on the daily chart
  • The coin has been trading in trend zones lately on the hourly chart
Chart of REEF/USD by Trading View

REEF Token Price has formed a head and shoulders pattern on the daily chart. The token broke out from the pattern to a bearish reversal, however, the coin has long-term support at $ 0.012. The coin has taken support at this level and is currently trading between the neckline of the head and shoulders pattern and the long-term support level. The token earlier was in a symmetrical converging pattern and broke down from the pattern after forming a triple top within the wedge. The Relative Strength Index (RSI) is showing underbought signals for the coin and the signal line and the 14 days SMA have also crossed over indicating bullishness for the coin.

Chart of REEF/USD by Trading View

REEF Token Price has been trading in parallel trend zones on the hourly chart. The token was initially trading in a zone between $ 0.019 and $ 0.017 before getting into a negative sloping parallel channel for close to a week earlier in this month. The coin then took long-term support at $ 0.012. The coin made a bullish reversal after testing the long-term support and is now consolidating between $ 0.013 and $ 0.015. The coin looks to consolidate further in this zone for the next few trading sessions.

Conclusion:

The coin has taken support at its long-term support level after a bearish head and shoulders pattern. The coin is currently trading in trend zones consistently. The coin looks set for a reversal in either direction at this moment.

Support: $ 0.012

Resistance: $ 0.017

DISCLAIMER: The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish any financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Categories: News
Ritika Sharma: Ritika Kumari Sharma is an Economics Honors graduate from the University of Calcutta. She is completely into finance and believes that cryptocurrencies are the future. She is an enthusiast learner about the cryptocurrency and blockchain technology.