Spell token has lost 8.5 per cent of its price in today’s trading session. The cryptocurrency has also been in a long-term bearish market, which has seen its prices drop by more than 30 per cent this month alone.
The drop in price comes amidst a struggling parent platform, Abracadabra ecosystem, which has dropped the money locked on it from over $6 billion to the current $2.5 billion. Unfortunately, the struggling platform has also seen its stable coin market capitalization drop to about $2.7 billion from the over $4.6 billion it was valued at in February of this year.
On my April 5, 2022, price analysis of the Spell token, I highlighted some of the technical factors resulting in the price drop. I also predicted that the prices would continue to drop for the foreseeable future. Fast forward to today, the current has dropped by over 20 per cent since then. The last 24 hours have also shown the prices to have dropped by more than 10 per cent. This is despite the trading volume of the token increasing by 36 per cent, bringing the total traded to over $152 million worth of Spell Tokens.
Looking at the daily chart below, we can see the prices of Spell have been on a decline since April 4, 2022. We can also see the long-term trend of the chart to be bearish, where the token has lost over 80 per cent of its value since the year started. The chart also shows today trading session being a continuation of yesterday’s bearish market.
Therefore, using the chart, I expect the prices of Spell tokens to continue with their current drop. Based on the chart, the prices are currently trading at the support and resistance levels of $0.0033 and $0.0081, respectively. The chart also shows the prices are approaching the support level. Therefore, I expect the prices to hit the $0.0033 support level in the coming days. I also expect the current bearish trend to be long-term.
This post was last modified on %s = human-readable time difference 15:00