Algorand was one of the few projects that, a few weeks ago, looked likely to recover from the current strong bearish cryptocurrency industry bear market. However, despite starting the month strongly, Algorand prices have continued to plummet, and today, it has lost 25 per cent of its value in the month of June.
Unsurprisingly, the bear market has persisted throughout the year. In May, for instance, Algorand lost 27 per cent of its value. April was an even bigger loss, with prices dropping by 38 per cent. The year-to-date data also shows that Algorand has lost 81 per cent of its value.
In today’s trading session, Algorand is down by 2 per cent. The price drop is also a continuation of a long-term trend that has persisted throughout the year, resulting in an 81 per cent year-to-date price drop. Looking at the chart below, the prices have also recently hit the $0.36 resistance level and failed to break to the upside.
The result has been the current bearish trend that has run for four consecutive trading sessions, causing Algorand’s price to fall by 14 per cent. Since June 11, the prices have also traded within the support and resistance levels of $0.27 and $0.36, respectively. The chart also shows the Williams Alligator giving strong bearish signals, despite a recent price surge.
Therefore, putting the recent price action, the price history throughout the year, and the current trend together, my Algorand price prediction expects it to continue dropping downward. I also expect the prices to hit the $0.27 support level in the next few trading sessions. The likelihood that the prices will break below the price level is also high, based on the current price momentum.
However, if the prices trade above the $0.35 price level, then my bearish trend analysis will be invalidated. At that point, it will be clear that the current sideways market will continue, with prices hitting the resistance level and possibly reversing again.
This post was last modified on Jun 29, 2022, 17:34 BST 17:34