Key Takeaways:
- Europe’s energy crisis continues, though power grid operator claims ‘very rare’ power outages.
- Power Ledger (POWR) coin prices soared over 100% in a week.
NEW DELHI (CoinChapter.com) — Power Ledger, a blockchain platform that aims to enable peer-to-peer energy trading, saw its native token POWR jump 111.27% since the week beginning Nov 15.
POWR coin is currently up 693.85% YTD, with most of its technical indicators on Tradingview giving a strong buy signal. The energy trading platform aims to target high-density and urban environments. Furthermore, the Power Ledger team aims to help users and retailers trade energy directly in real-time.
Europe Energy Crisis
The energy crisis in Europe seems to be continuing, as politicians warn of blackouts. Energy prices were a topic of discussion among EU leaders during the European Union summit in Oct this year. A disappointing renewable energy output coupled with a rise in natural gas prices led to soaring energy prices in the EU.
Austria was the first country to warn its citizens of the chances of a blackout in the winters, with Defense Minister Klaudia Tanner instructing people to prepare for the blackouts by storing at least two weeks’ worth of food.
Although the Spanish government is projecting calm despite a natural gas shortage, its regional leaders warn people to prepare for a power outage. Comments from Madrid’s conservative president Isabel Díaz Ayuso triggered a panic buying spree among citizens.
Hardware stores reported high demand for survivalist products such as camping stoves, canned food, flashlights, etc. However, Pedro Fresco assured people of sufficient power generation capacity, Valencia’s Director of Ecological Transition.
The fear of the energy crisis stems from speculation that the US might hoard natural gas instead of exporting it. Coupled with Algeria shutting off one of its two natural gas pipelines, it could add more pressure on global natural gas markets.
Russia has assured Austria and Germany of helping them overcome their respective natural gas shortage. However, uncertainty about the energy supplies of Russia remains, with rumors of Moscow preparing for an expanded war with Ukraine.
ENTSO-E, a group of 42 electricity network operators in the EU, urged people to stay calm.
What is Power Ledger (POWR) Coin?
Power Ledger is an energy trading platform where users can contribute or consume clean energy resources without going through a power company. It is a decentralized platform, creating a more competitive environment. Furthermore, decentralization helps negate the chances of complete system shutdown.
Power Ledger’s team believes their blockchain-based peer-to-peer energy platform would revolutionize energy markets. The platform operates on two blockchain layers and has two native tokens, POWR and Sparkz.
In detail, POWR coin is a protocol token that helps access the Power Ledger platform. On the other hand, Sparkz tokens are stable, pegged to local currency. Moreover, since Sparkz is a closed-loop internal token, they allow for timely micro-energy transactions.
Power Ledger’s recent bull run coincided with the deepening energy crisis in the Eurozone, alerting that many traders may have started bidding higher for POWR tokens speculatively. Nonetheless, the token received an additional boost from a string of listings across leading crypto exchanges, including Coinbase, Nami Exchange, and Indonesia’s Tokocrypto.
POWR token is also available for trade on crypto.com. On Nov 17, the platform also announced new trading pair, POWR/BUSD, and POWR/USDT, on Binance.
POWR Price Charts
Despite gaining 111.27% in the last week, POWR prices are moving downwards on Nov 22. However, the Power Ledger token remains above its June-Nov ascending trendline. Moreover, POWR is bullish across all time horizons, trading above its 50-day and 200-day moving average trendlines.
POWR coin has immediate resistance at $0.8161. The token jumped to $0.97 on Nov 21, but strong market corrections pulled prices back. If the Power Ledger token restarts its bull run, it could reach $0.9305. A sustained uptrend would see POWR target the psychologically important $1 price level, which it last reached on Jan 30, 2018.
In case of POWR falls into a downtrend, bulls would seek support at $0.689, a price level it breached after nearly 3.5 years. However, retail traders looking to profit from the recent bull run could pull prices to $0.602. A marketwide sell-off could bring the support near POWR’s 50-day MA line, at $0.526, into play.
Meanwhile, MACD, a trend-based momentum oscillator, continues to be bullish for the Power Ledger token. As a result, the MACD line (difference of 12-day and 26-day EMA) moves far above the MACD signal line (9-day EMA of MACD), like bars on the MACD histogram indicate.
The MACD histogram plots the difference between the MACD line and its signal line. Positive bars indicate a bullish momentum. Moreover, the relative index for POWR has pulled back from overbought regions, currently clocking 67.77 on the daily charts.
An RSI above 70 indicates an asset might be ready for a trend reversal. Bulls would hope Nov 22’s red candle is not the beginning of a downtrend.
POWR was trading at $0.7355 at the time of writing, down 6.90% on the day.
