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ECOMI Coin Price Analysis: OMI Coin Price has Broken Down The Long-Term Demand Zone, Will it Recover?

  • OMI coin price is in a strong downtrend, and recently it broke down the long-term demand zone.
  • The coin forms a double top pattern on a daily time frame.
  • OMI coin price at present is trading below the long-term demand zone at 0.003436 with a decrease of -7.49 % in the market cap of the digital asset over the past 24 hours.

OMI coin price is in a strong downtrend after breaking down the long-term demand zone and turning the supply zone at $0.0045. There seems no hope for recovery in the coin as it again failed to surpass the important supply zone of $0.0045. The coin has started forming lower low and lower thigh formation on a daily time frame. The coin fell after facing rejection at 50 and 100 EMA, and currently, it is trading below the vital 50 and 100 EMA. OMI coin price is currently below 20 EMA after the fake breakout of 50 EMA. The coin is trading at the lower band of the Bollinger band indicator after failing to surpass the upper band of the Bollinger band indicator. The coin recently broke down the double top pattern, and after doing a retest at the long-term supply zone of $0.0046, it has started falling again. Investors should be cautious and not take a long position until the $0.0046 price level is not broken. Volumes have increased over the last trading days, causing volatility to increase, and thus investors should wait until the price settles and then take trades.

ECOMI coin price is forming a double top pattern on the weekly time frame

After facing rejection of the same supply zone twice, the OMI coin fell to the long-term demand zone forming a double top pattern on a weekly time frame. The coin recently broke down the long-term demand zone at $0.0046.

Relative Strength Indicator: RSI is trading at 40.74, and recently the RSI Curve has given a negative crossover of 20 SMA. RSI Curve has fallen below the halfway mark of 50. The trend is bearish as of now, and it will continue until the coin crosses the price of $0.0046 on the upside.

Average Directional Movement Index: ADX dipped below 30 as the coin’s price fell. After the retest of the supply zone, the coin has started falling again, and the ADX curve is depicting the same.ADX curve has turned downwards, indicating a strong bearish movement for the upcoming trading days if the bulls do not take control and push the price higher, thrashing through the $0.0046 crucial supply zone.

MACD and RSI are showing bearish signs on the daily time frame

After facing rejection in the long term, the supply zone fell down, and now it has also fallen below the long-term demand zone indicating a strong bearish momentum for the upcoming trading days.

Supertrend: Recent bearishness in the price of the OMI coin led to the Supertrend indicator’s breakdown at $0.0046, and the supertrend gave a sell signal. The coin is currently trading below the supertrend line, acting as resistance. If the coin bounces off the super trend trendline, there can be a bearish movement in the digital asset price. If the coin is able to break out of the trendline and sustain the above super trend buy line, it can turn into a bullish trend that can push the price up to $0.0078.

Moving Average Convergence Divergence (Bullish): MACD indicates a bearish trend on the daily time frame, giving a negative crossover. The seller’s signal line (orange) crossed the buyer’s signal line(blue) on the downside, indicating a possible continuation of the bearish momentum. If such momentum continues, the coin can fall rapidly and become difficult to recover.

Conclusion

OMI coin price, as per the price action, is falling rapidly, and recently it also broke down the long-term demand zone with huge volumes validating the breakdown. It remains to see if the coin can rise above the $0.0046 demand zone turned supply zone or bears keep the control and push the price further down to $0.0023.

SUPPORT: $0.0023 and $0.0027

RESISTANCE: $0.0043 and $0.0046

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 the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Nancy J. Allen: Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.