Our writers send out only the most relevant and accurate news so you dont have to search.
The price of the NEM (XEM) against the US dollar may rise to $0.30 in the short term if bulls recover amid a broader recovery in the altcoin market.
The price of XEM jumped to a monthly high of $0.28 after an impressive 51% last week. As seen on the price charts below, the bulls appear to be in command and may rise further despite a reversal to lows of $0.23.
The outlook, therefore, suggests that the XEM will have to recover as it did last week to hit the $0.30 mark. Over the past seven days, the XEM has outperformed Aave (38%), Synthetix (23%), Compound (23%) and yearn.finance (20%).
At the time of writing, the XEM was trading around $0.24, over 35% green on the weekly chart.
The XEM posted incredible gains last week and could rise further if the bulls broke above a major resistance area which resulted in a drop to lows of $0.23.
If the bulls exceed $0.26, the overall bullish momentum in the market may help catapult the currency’s price to the $0.28 demand barrier. Above this, the buying pressure may push the price of the XEM to $0.30 or higher.
But while buyers target $0.30, sellers may have other ideas. As shown on the daily chart below, the bulls will likely have to struggle with downward pressure. The outlook is due to the selling signal that flashed in the daily period through the Sequential TD indicator. The graph shows an eight green candle, which means that if validated, it can confirm a short-term bearish outlook.
The technical framework also shows the RSI suggesting a potential slowdown for the XEM/USD pair. While the bulls remain in control as the indicator trends within overbought territory, their downward trajectory suggests that the bulls may be weakening.
If the NEM currency price hits another drop in the next few days, the main support levels in the daily period are $0.23, $0.21 and the simple 50-day moving average is $0.14.
XEM/USD 4 hour chart. Source: TradingView
On the 4-hour chart, the 78.6% Fibonacci retracement from a $0.26 high to $0.23 low provides an immediate barrier at $0.258. Above this level, a new test of $0.28 will open a possible run to the mentioned target.
On the downside, the 50-SMA ($0.21) provides support, with the difference between this and 100-SMA ($0.18) and 200-SMA ($0.15) suggesting that bulls are covered to absorb short-term falls.
Translated with www.DeepL.com/Translator (free version)