Recent Price Movement
The price of IMX has experienced a steep upward trajectory since September, recently reaching a new yearly high of $2.45. This surge has propelled IMX into a long-term resistance zone, where it currently remains.
The IMX/USDT weekly chart reveals a series of ten consecutive bullish candlesticks, indicating sustained buying pressure. Additionally, the Relative Strength Index (RSI), a momentum indicator, suggests an upward trend with a reading above 50.
Technical Indicators
Support and Resistance Levels
The IMX price currently faces resistance at $2.35, a level defined by both a horizontal resistance area and the 1.61 external Fib retracement level. A breakout above this resistance could trigger a significant increase, while a rejection could result in a decline towards the next support at $1.50.
RSI Divergence
Despite the overall bullish momentum, the daily RSI has exhibited bearish divergence, a technical pattern that often precedes price reversals. This divergence suggests that the market may be reaching a temporary peak and could experience a correction soon.
Conclusion
The future direction of IMX will likely be determined by the price’s ability to break out above the $2.35 resistance or fall back within the ascending parallel channel. A breakout could lead to a 50% increase to $3, while a decline below the channel could result in a 35% drop to $1.50.
Author: John Doe
John Doe is a financial analyst and experienced trader with over 10 years in the cryptocurrency market. He specializes in technical analysis and has published numerous articles and insights on cryptocurrencies and blockchain technology.
Disclaimer
All information provided in this article is for educational purposes only and should not be considered financial advice. The cryptocurrency market is volatile and carries significant risks. Readers should conduct their own research and consult with qualified professionals before making any investment decisions.