Cryptocurrencies

Algorand Price Analysis: Bullish Trend Dominates the Play

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Written By: Elliott Laybourne
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    Summary:
  • The Algorand price is grinding higher in a rising trend channel, indicating the bulls are firmly in control.

The Algorand price is grinding higher in a rising trend channel, indicating the bulls are firmly in control. This morning, Algorand (ALGO) is trading at $2.005 (+3.5%), a 7-day increase of 8.06%, and up around 490% year-to-date. There are currently 6.24 billion ALGO tokens in circulation, with a total value of 12.48b, ranking Algorand the 20th most valuable cryptocurrency behind Bitcoin Cash (BCH).

The cryptocurrency market is broadly higher in Asian trading on Friday, as stability returns following Thursday’s wobble. Most of the large-cap assets are in the green this morning, helping Algorand maintain its bullish momentum. The ALGO token has performed well recently, although still trading around 20% below its September high. Nonetheless, the price action is encouraging, especially considering the uniform nature of the rise.

Even Bitcoin’s (BTC) sudden plunge from its all-time high of $69,000 to $62,800 on Thursday, which knocked ALGO’s price -20% from its intraday high, left no lasting effect on Algorand’s technical outlook. As a result, ALGOS six-week uptrend is intact, suggesting it should continue higher in the near term.

ALGO Price Forecast

The daily chart shows a rising trend-line supports the Algorand price at $1.800. The 50-Day Moving Average at $1.834 adds to the scale-down support.

Above the market, the top of the rising channel at $2.297 is the first significant resistance level. As long as the price remains above $1.800, it should continue to post gains, targeting the top of the trend channel. Furthermore, successful clearance of $1.800 targets September’s $2.550 high.

As mentioned, the bullish view relies on the integrity of the trend support. Therefore, a close below $1.800 invalidates this thesis.

Algorand Price Chart (daily)

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This post was last modified on Nov 11, 2021, 22:40 GMT 22:40

Written By: Elliott Laybourne

Elliott Laybourne is an accomplished Hedge Fund sales and Investment bank trading specialist. Elliott also started a successful Base Metals Brokerage business in partnership with ABN AMRO clearing bank. He worked on the open outcry trading floors at the London International Financial Futures Exchange 'LIFFE' and the London Metal Exchange 'LME.' He also provided research and execution services for Goldman Sachs, JP Morgan, Credit Suisse, Schroders Asset Management, and Pennsylvania State Public School Employees Retirement System, as amongst others. Today, he focuses on providing trading consultancy and business development services for family office and brokerage clientele.

Published by
Written By: Elliott Laybourne