NOIDA (CoinChapter.com)—The crypto token price market underwent a slight correction on May 9, with the total market cap dropping by 1.25%. Due to their technical setups, some crypto tokens, like HBAR, RNDR, FET, and ICP, might face bearish headwinds against their prices.
Let’s dive in.
Crypto Token Hedera Hashgraph’s Channel Nightmare
Hedera Hashgraph’s HBAR token has been consolidating after rising over 85% in Jan. 2024. The token has been moving inside an ascending channel pattern.
The pattern’s upper trendline resistance recently rebuffed HBAR’s uptrend, which means the token will likely test the channel’s support line. If that happens, HBAR’s price would likely drop to $0.084, losing 22.22% along the way.
Zooming in on the chart shows that HBAR’s price broke through multiple FIB support levels during its downtrend in April 2024 before bottoming out near the 0.236 FIB level and 200-day EMA (green wave) support confluence.
The $0.088 support level seems vital for the token’s price action.
Furthermore, the crypto token’s prices have been moving above ascending trendline support since April 2024, which currently provides a support confluence with the 100-day EMA (blue wave) near $0.101.
On the flip side, an uptrend from here would see HBAR price face resistance near $0.122. Moreover, breaking above the immediate resistance might help the token rally to the 0.786 FIB resistance near $0.14 before correcting.
The relative strength index for the HBAR is neutral, with a score of 53.11 on the daily charts.
RNDR Rockets To Six-Week High
Render Network’s RNDR token spiked nearly 16% to a daily near $11.4 on May 9 after news of Apple highlighted the blockchain platform’s OctaneX, a product that harnesses the Render Network’s decentralized GPU resources.
The partnership represents a bullish development for the Render Network. It broadens the platform’s user base by integrating with Apple’s advanced hardware, specifically the high-performance M4 chip.
This integration would help enable the efficient utilization of decentralized GPU resources, thereby enhancing the network’s utility and potentially increasing the demand for the RNDR token.
If the rally continues, the RNDR price will face resistance near the $11.7 price. Breaking and consolidating above the immediate resistance might help the cryptocurrency token rally to the resistance near $13.8 before paring gains.
Conversely, profit booking could result in RNDR price dropping to the 20-day EMA (red wave) and 50-day EMA (purple wave) support confluence near $9.4. If the downtrend continues, the AI-based crypto token’s price might end up testing the 100-day EMA (blue wave) support near $8.
The RSI for RNDR remained neutral, though near the overbought threshold of 70, with a score of 67.25 on the daily charts.
FET Price Forms Bearish Pattern
Fetch.AI, another AI-based crypto token, has formed a bearish technical pattern called the ‘descending triangle.‘
Market analysts predominantly consider the descending triangle a bearish continuation signal. The pattern features a downward-sloping upper trendline and declining resistance levels that progressively lower the price action’s peaks.
Additionally, a horizontal lower trendline acts as support, maintaining a consistent low point that the price struggles to breach. The formation indicates that selling pressure is gradually increasing, overcoming the buying interest, as each rally is weaker than the last.
The height of the triangle’s thickest section determines the price target in a descending triangle setup. Hence, if the bearish pattern pans out, FET price could drop over 39% to reach the pattern’s projected price target near $1.36.
The cryptocurrency token’s price spiked nearly 8% on May 9 to reach a daily high near $2.3 before paring gains. Despite the uptrend, FET’s price action remains largely range-bound between the 0.618 FIB resistance near $2.43 and the 0.382 FIB and 100-day EMA (blue wave) support confluence near $2.
The crypto token’s price has been moving laterally since mid-April earlier this year.
Breaching the EMA support level might confirm the bearish triangle setup, forcing the crypto token’s price to test the 0.236 FIB support near $1.8 before recovering. On the other hand, breaking above the immediate resistance could help FET price target the resistance near $2.8.
The relative strength index for FET remained neutral, with a score of 49.01 on the daily charts.
Internet Computer Token Has Bearish Setup
Internet Computer token, ICP, has also formed the bearish technical setup called the ‘descending triangle.’
As mentioned above, traders view the descending triangle as a bearish continuation pattern.
The configuration is characterized by a downward-sloping upper trendline, which gradually reduces the price action’s highs, and a flat lower trendline, which serves as a consistent support level the price finds difficult to break.
Moreover, the pattern suggests that selling pressure is intensifying and consistently overpowering the buyers, leading to successively weaker rallies. In this setup, the potential price target is typically gauged by the maximum height of the triangle at its widest point.
Hence, confirming the pattern might result in the cryptocurrency token might drop nearly 48% to reach the pattern’s projected price target near $6.3.
ICP prices have been in a downtrend since May 4, dropping more than 13% to reach a daily low near $11.8 on May 9. Bulls tried to start a rally but failed to overcome the bearish pressure against the cryptocurrency token.
If ICP price continues its downtrend, the cryptocurrency token might find support near the 0.382 FIB ($10.9) and the 0.236 FIB ($9.9) levels.
On the other hand, a bull run might help ICP price rise to the resistance near $13.3, before targeting the resistance near $15.1.
The RSI for ICP remained neutral, with a score of 36.9 on the daily charts.
