Kaspa rallied 5.44% in the past 24 hours, with a daily trading volume surge of 102%. As Bitcoin inches closer to the $90k psychological level, it could be aiding altcoin bulls to drive prices higher.
The short-term gains were also a consequence of the listing on HTX (formerly Huobi), the crypto exchange.
KAS approaches key local resistance level
Source: KAS/USDT on TradingView
The 1-day timeframe revealed that Kaspa [KAS] has been trading within a range since the 10/10 crash. The $0.036 and $0.060 levels marked the extremes of the range formation.
At the time of writing, KAS is about to test the $0.048 level as resistance.
This was the mid-range level. If flipped to support, it would indicate a move to the range high was next. The listing news and Bitcoin’s [BTC] bullishness might help bulls flip the $0.048 level to support this week.
The OBV saw a retracement over the past month, but has broken its downtrend over the past week. If the buyers sustain this pressure, it would be another sign of a rally toward $0.060.
Exploring the less likely scenario ahead
Source: KAS/USDT on TradingView
The 1-week chart showed that the prevalent trend was bearish. The $0.036 and $0.063 levels were the swing points on this timeframe. A weekly session close above $0.063 is needed to bring about a bullish bias.
The OBV was also in a steady downtrend and has not made noteworthy new highs in recent months. This weak buying has to change character to bring about a rally.
Traders’ call to action — Watch out for KAS volatility
Source: CoinGlass
The liquidation map showed that there was sizeable liquidation leverage nearby. The $0.0439 and $0.0489 were the closest levels, with a considerable amount of high-leverage liquidation levels around them.
Both of these levels are likely to attract KAS to them, but it is unclear which will be the one visited first.
A revisit to $0.044 would offer a short-term buying opportunity, targeting the $0.048 mid-range resistance and liquidity pocket.
On the other hand, a breakout past $0.048 and retest would also offer a buying opportunity, targeting the range high at $0.060.
Final Thoughts
- Kaspa’s price action has been range-bound in recent months, without remarkable demand.
- Traders can keep an eye on $0.044 and $0.048- a break of either level would likely dictate where KAS is headed in the coming days.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
Source: https://ambcrypto.com/kaspa-eyes-breakout-past-the-0-048-local-resistance-can-it-happen/
