- The LOOM price is currently at $0.11878.
- The price could not sustain above the 50-day EMA and is currently facing rejection from it.
- The coin price is currently consolidating in a range after a strong sell-off.
The LOOM coin’s overall trend is bearish as long as the price is sustained below the $0.22926 resistance zone. In mid-September 2023, after breaking the $0.04735 hurdle, the LOOM coin price initiated a strong bullish rally with the formation of a higher-high pattern. The upward move of the coin price was halted at $0.50000, which is also the all-time-high of the coin. After the bears interrupted the ongoing bullish trend, the price fell by more than 65% in just five trading sessions.
After the decline in price, it consolidated in the range of $0.14838 to $0.095474 and it is currently consolidating inside this range. Currently, the LOOM coin price is at $0.11878 with an intraday decline of 6.95%. The 24-hour trading volume of the coin has declined by 31% and the market capitalization of the coin has also faced a downfall of 6.95%.
Will the Strong Selling Pressure Force the Price to Fall?
The LOOM coin price suggests that the price could continue to consolidate within the current range in the upcoming trading days. As per the price action, after a strong selling or buying pressure, if a price consolidates in a range, it has a higher chance to continue its ongoing trend.
If the bears manage to close the price below the critical support level of $0.09574, it is anticipated that a further decline in price will occur. Following this, the price is expected to descend to the subsequent support level at $0.03644. The strong downward pressure already witnessed indicates a notable bearish sentiment and a heightened interest among bears in the market. A short-term upward move will trigger when the price gives the breakout of the $0.14838 resistance level. This can make the price rise to its next resistance level at $0.22926. The short-squeeze in the price may face difficulties in closing above the $0.22926 hurdle because of the previous strong selling in the LOOM coin chart.
What the Future Holds for LOOM’s Price After the Consolidation Phase?
After reclaiming the 100-day and 50-day EMA lines, the LOOM coin price recovered 44.26% of its value. However, the breakout of the 50-day EMA was not reliable which made the price to return in between these two EMA lines. Currently, the price is facing rejection from the 50-day EMA, showing that bears are slowly reclaiming their control over the price.
The increase in the volume bar shows that the bulls are halting the price from falling lower. This suggests that a short-term consolidation in the current range can continue. The RSI line is below its 50 level and is sloping in the downward direction which shows that the bears are applying a strong selling pressure. This indicates that the bears are very active and are interested in making the price fall.
Conclusion
The overall price prediction seems bearish for LOOM coin. The price action and technical indicators are showing signs of a continued decline in the price. The sellers should look for the breakdown of the range which will initiate a further fall in the price.
Technical levels
- Resistance Levels: $0.14838 and $0.22986.
- Support Levels: $0.09574 and $0.03644.
Disclaimer
The views and opinions stated by the author or any other person named in this article are for informational purposes only. They do not provide financial, investment, or other advice. Investing or trading in crypto comes with a risk of financial loss.