The Audius price has halved in the last three weeks, but is this a buying opportunity or does the AUDIO Token have further to fall?
Audius (AUDIO) is sharply lower on Tuesday as selling returns to the cryptocurrency complex. The strength seen over the weekend has given way to extreme weakness in the last two days, triggering broad-based crypto liquidations. The latest bout of selling has dented the previously bullish sentiment surrounding the market. In the last four weeks alone, the crypto market has lost around $850 billion in value, vastly underperforming legacy markets. As a result, the asset class could be in for a bumpy ride approaching year-end. Subsequently, the Audius price action is looking increasingly negative, which could spur another round of selling.
The daily chart shows the AUDIO token is trading just above the support of the December 4th low at $1.3800. And in my opinion, a daily close below $1.3800 could trigger a sharp drop towards the June low at $0.5920.
Notably, the Relative Strength Index of 31.0 is close to oversold, and therefore, a sudden shift lower could be short-lived. Furthermore, a close above the 200-Day Moving Average would relieve the immediate pressure. On that basis, I am bearish with a medium-term price target of $0.5920. However, a close above $1.8048 (200-DMA) invalidates the view.
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