- Recovery move post “James Bond” level couldn’t prevent a crash
- After the selloff, buy signs have flashed again
- Breaking back above the “James Bond” level is crucial
Along with other altcoins, Holo’s HOT token, too, faced the brunt of the widespread crypto market crash on Monday. Unfortunately, bulls couldn’t successfully carry out their recovery attempt above the “James Bond” level ($0.007 support).
And a near 27% crash in prices followed. As a result, the Chinese miners offload their Bitcoin and altcoin holdings to escape the government crackdown on crypto mining and trading.
Efforts by buyers to prop up prices fell flat after the epic May crash, weakening sentiment around HOT. As a result, buying volumes have taken a big hit. But trend reversal signs have begun to appear again.
HOT/USDT Charts Scream “Buy”
The token pair has been trading in a descending channel after tapping the $0.03 top on April 6 this year. The daily chart shows a series of lower lows and lower highs printed within three months. Fortunately, the support near the $0.0048 price level has remained intact and signals overall exhaustion of bearish pressure.
Buyers have gathered to ramp up the upside momentum of the HOT/USDT trading pair. In an ideal scenario flipping the James Bond resistance level (marked by the 20-day exponential moving average line) into support would reinstate bullish sentiment.
While this is the daily chart situation, things on the 4-hour chart are already looking optimistic. Since the last couple of days, an ascending triangle formation, bullish crossover (blue wave overtaking the red wave) on the MACD (Moving Average Convergence Divergence) indicator, and a rising RSI indicator points to a breakout.
If buyers manage to scale their way up past the 20-day EMA, the next dynamic resistance that lies near the 50-day MA will possibly become surmountable. Although, this would be possible only with two successive bullish candle formations (with higher lows) above the 20-day EMA.