MultiversX (EGLD) shows resilience as it tests the lower boundary of a long-term descending channel. Weekly support holds, signaling weakening selling pressure and a potential rebound. Technical indicators reveal bullish divergence, hinting at a shift in momentum. A successful bounce could trigger a structured rally toward key resistance levels, reigniting investor optimism.
Source: X
Levels where the EGLD could potentially be targeted include $12, $22, $38, $58, $77, $120, and $200, which demonstrate several levels that could be involved in the process for a reversal to occur. The continuation of the upward pattern could demonstrate a reversal in the trend, which could be a positive signal.
Also Read: EGLD Price at a Crossroads: Will It Hold the $28.8 Support?
EGLD Faces Pressure Below Key Moving Averages
The 4-hour chart for EGLD has generally been ranging with a slight negative bias over the past couple of weeks. The prices remain between $5.90 and $6.50, sometimes testing the upper and lower Bollinger Bands, which indicates high volatility. The candlesticks depict rejections around the EMA 20/50/100 and EMA 200 levels, which indicates that it is not easy to develop an upward momentum.
Source: TradingView
The moving averages display a mildly bearish setup as EMA 20 and EMA 50 have crossed below EMA 100 and EMA 200. EMA 200 is currently resisting at $6.43. Recently, the price has bounced back from $5.90 and is trading at $6.02. This is showing signs of either consolidation or a small rally. Currently, the market is ranging sideways with a bearish tone.
EGLD Momentum Indicators States Cautious Optimism
However, RSI is approximately in the middle, with a reading of 43.82, which makes it neither overbought nor oversold. Momentum is neutral, but RSI has been primarily below 50, which makes it slightly bearish. The RSI’s 14-period moving average is approximately 46.54, which makes it slightly higher than the RSI.
Source: TradingView
In the MACD, there is consistent pressure downward. The MACD is below the signal line, which shows downward momentum. The histogram is generally negative, with small red bars that continue to decrease in size, indicating that the downward force is weakening. The crosses that were visible earlier indicated changes in trends, while the present arrangement indicates only weak downward momentum.
Also Read: MultiversX Accepts Governance Proposal, EGLD Targets $16
