๐ Daily TA: Theta Network (THETA/USD) | 15-01-2022
Hodl, dear members of Leofinance!
Today, I will analyze the price chart of Theta Network - a project that become very famous last year.
Let's start from the monthly time frame (MN), where THETA/USD formed a Bullish Engulfing in November: And, although the Bullish Engulfing is a common bullish/trend reversal pattern, it didn't receive confirmation in the subsequent months. After this bullish engulfing a sequence of bearish candlesticks with lower highs formed. Thus, the bullish signal from the bullish engulfing has been revoked.
If we look at the weekly chart (1W), we can see that there is a downtrend - a sequence of lower highs and lower lows: So, it is clear that the bears dominate the market in the weekly time frame as well.
The daily chart (1D) is bearish as well. The price is below all three key Moving Averages (MAs), namely, the 30-day Moving Average (MA 30), the 90-day Moving Average (MA 90), and the 360-day Moving Average (MA 360): Moreover, a Bearish Moving Average Crossover took place in December. And, now, there is even a bearish distribution of the MAs - MA 30 is below MA 90, MA 90 is below MA 360. This is a clear signal of the bearish dominance in the daily chart.
Nevertheless, still, there is a chance of uptrend renewal. In the 4-hour char (4H), there is a Descending Triangle: This triangle is a common trend continuation pattern. And, before the triangle, there was an uptrend. Now, the price is in the final part of the triangle. Let's wait and see if it will be able to exit the triangle in the upward direction and start restoring the bullish sentiment in the heavier time frames.
To be continued ...
As of the time of writing, one THETA costs $4,09 on the Binance exchange, according to TradingView.
A few words about me:
Just to let you know: I've been working professionally as a currency analyst for the last 15 and a half years and as a cryptocurrency analyst for the last 4 and a half years.
Important!
Keep in mind, that thoughts expressed here are my own, and they should not be regarded as recommendations for any cryptocurrency/commodity trades, investments and etc.
Posted Using LeoFinance Beta
