Synthetix and Bancor prices are down double digits in the last trading month. BNT/USDT is capped below $4, while SNX/USDT will soar if bulls overcome the middle BB.
The Ethereum protocol, Synthetix, allows traders to access a variety of highly liquid derivative assets. SNX is the platform's governance token.
The SNX/USDT price is in a downtrend — sellers are clearly in control.
Of note, from the leg up of the last four weeks, SNX prices have recoiled from July highs, dropping to the 78.6 percent Fibonacci retracement level.
There could be the hope of recovery. However, this largely depends on the reaction of bulls in the lower time frames.
At present, SNX is up four percent versus the USD as buyers benefit from NY session gains.
In all, DeFi and crypto markets appear worn out and defeated.
From a top-down view, every pullback offers an unloading opportunity.
Continued support at spot rates may plug the bleeding.
However, it is a convincing high-volume bull bar above $10 unwinding losses of July 19 and 20 that might draw demand.
SNX bulls' chances are still slim if price action in the daily chart leads.
The short-term bear target is $5.
On the flip side, rejection of lower lows and SNX/USDT floating above the middle BB to $10 may see prices racing back to $14 in continuation of buying pressure of late June.
The Bancor protocol is one of the earliest DeFi swapping dApps. It rides on Ethereum and EOS.IO chains, using BNT as an incentivizing and governance token.
BNT bulls are overwhelmed by sellers, reading from price action in the daily chart.
At the time of writing, BNT is up five percent.
Still, prices are within a bear breakout pattern, evident in the daily chart.
Notably, after impressive gains in the better part of Q1 2021, BNT has given out gains, dropping by over 70 percent from H1 2021 peaks.
Admittedly, sellers are in control. BNT/USDT prices are inside a descending channel, capped to the upside by the main resistance line—the middle BB.
Technically, it would require a high-volume, wide-ranging bull bar racing above the liquidation line and $4 to signal a trend reversal.
Despite early gains, the selling momentum is strong; BNT/USDT bars are aligning along the lower BB as the two bands diverge, suggesting volatility.
Unless otherwise there are series of higher highs countering the primary selling trend accompanied by a significant uptick in trading volumes, confirming today’s gains, BNT sellers may search entries on pullbacks targeting $2.5—the 78.6 percent Fibonacci retracement level of the H1 2021 trade range.