Other than BTC rally, we have DASH’s. Its valuation has skyrocketed over the past two months and as the chart shows, DASH is literally smashing records with every higher high it makes. Even though its market cap is at $6B, it’s my opinion that this will continue inching up as capital is injected by investors seeking value.
As it is in the weekly chart, we have a very strong buy signal printed by stochastics and as long as %k and %d keep diverging, DASH bulls should be looking to buy on every dip. So far, the first level of our take profit-at $662- projected by the Fibonacci extension tool has been hit, what we expect now is a brief correction before the continuation of this bull-run.
This bullish projection is simply advised from the BB characteristics which is used as a volatility gauge. A closer look and you realize that price action is literally banding along the upper BB and this begun after that break above August highs two weeks ago.
There is a clear bearish divergence in the daily chart. Often, this would have been a reason to short but because of the sentiment involved in this crypto, relying on it would be dangerous.
Given the sentiment aspect, DASH volatility will be on our radar and we therefore rely on BB. Well, the volatility is strong especially if we compare price action relative to the upper BB and the distance from the middle BB.
I have also placed a minor support trend line to be our first level of support just in case momentum and volatility decrease and DASH start moving lower from the upper BB.
In addition to these levels, yesterday’s candlestick Hi-Lows at $786 and $644 shall define our minor support and resistance level.
In the 4HR chart, there is price congestion and a bear divergence in place after that break above resistance trend line of the wedge on November 29. Our minor resistance line is at $786 and should price close below the 20 period MA then our immediate bear target shall be at $640 and in that case we shall enter long when a stochastic buy signal is printed around $540 support.
However, since DASH is in a strong bullish trend in the weekly chart, we shall also set a buy stop above recent highs at $790 and take advantage of any bull surge.