- LOOM price is trading below the key moving averages.
- Loom Network’s price increased from a lower low swing.
Recent momentum indicates that sellers are controlling the LOOM price. The LOOM Network price is weak as it is falling by forming lower lows and lower highs. The asset price has recently slipped below the 200-day exponential moving average with a strong selling pressure of 40% in 2 days.
In September and October, the LOOM price increased by more than 1000%, extending the price to the $0.500 mark. However, it witnessed a strong wick rejection and dropped by 80% in just 4 days. The price has been consolidating in a range for the last 6 months, and bulls and bears are struggling to survive on bigger frames.
Supply Held By Top Addresses Analysis
The supply held by top addresses is constant. However, some decline was detected in the past few days. Recently, the holdings of top addresses have increased, a positive sign for the bullish momentum. Bullish momentum can be expected if the holdings of the top addresses keep growing.
LOOM Price is Bouncing From the Key Support Level; Up Trend Begins?
Loom Network’s price is trading at $0.829, which has lost 4.10% in the past 24 hours. The digital asset price follows a falling trendline and displays weaknesses. The price has returned from taking support on the significant support level and approached the 20-day EMA.
Suppose the price starts trading over the key moving average; trading volume supports the momentum, and the buyers may dominate. Moreover, the price may soon extend to lower highs.
If the asset price is above the resistance level of the $0.1500 mark and the trading volume keeps increasing, then it may turn into a trend reversal in the long term.
Besides this, sellers may become confident if the LOOM price faces resistance from the 20-day EMA and slips below the trendline, leading to a bearish momentum. Suppose the price melts to the $0.0500 level and fails to defend it; the LOOM price may record a new all-time low.
Per the technical indicators, the RSI is 42 and has generated a golden crossover between the RSI and RSI-based moving average, favoring the positive forecast. Key moving averages show weakness in the short term but favor the buying momentum for the long term.
Conclusion
Based on the recent price analysis and supply held by top addresses analysis, the LOOM Network price seems weak, with sellers controlling the market. However, bullish momentum can be expected if the holdings of the top addresses keep increasing. In terms of technical indicators, the RSI has generated a golden crossover between the RSI and the RSI-based moving average, which favors a positive forecast for the long term. Buyers may recover previous losses if the price starts trading over the key moving average and trading volume supports the momentum.
Technical Levels
Resistance Levels: $0.0900 & $0.1100
Support Levels: $0.0730 & $0.0500
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.