EGLD Technical Analysis: Price Finds Support Leading to a Bullish Reversal

Vikram  |  Sep 22, 2021

EGLD token price rises from the support trendline. This brings an excellent buying the dip opportunity.

Elrond is a blockchain protocol that uses sharding to enable extremely fast transaction speeds. The project calls itself a technology ecosystem to support the new internet. This includes fintech and decentralized finances, as well as the Internet of Things. Its smart contracts execution platform can handle 15,000 transactions per hour, with a minimum of six seconds latency and a transaction cost of $0.001.

Past Performance of EGLD

On September 15th, EGLD coin price found supply near the resistance level of the consolidation range near $280. Thus, resulting in a downfall of approximately 35% back to the support trendline over the next week. This retracement can act as a bullish entry spot due to the constant demand provided near the trendline.

Source - Tradingview

EGLD Technical Analysis

EGLD coin price is trading at $205.55 at the time of writing, with a gain of 11.44% in the past 24 hours. Thus, indicating the bullish reversal with increased buying pressure. The bullish candlesticks near the support trendline have increased trading volume, presenting an opportunity to buy the dip. Besides, an up move of about 15% to 30% can be expected. 

The 50-day exponential moving average provides support for the ascending trendline. This supports the price's momentum and allows it to move higher. Additionally, the 200-day and 50-day EMAs rise in a bullish alignment, indicating strong underlying bullishness.

The MACD and signal line in the daily charts suggest a sell after the crossover. Also, the bearish histogram's intensification suggests a strong selling power.

Currently, the slope of the RSI indicator moves along with the daily chart's main line. RSI is now moving at the 50% mark after gaining support at the 45% level. However, the slope continues its climb upwards above the center line.

Day-Ahead and Tomorrow

EGLD coin price is ready to rally higher upon finding support near the support trendline. Moreover, the increase in buying pressure near the trendline and the 50-days EMA indicate a bullish reversal.

The EGLD token price to find support near the 50% Fibonacci Pivot level. Thus, increasing the chances of a bullish rally.

Related News