DASH tests lower support levels as market support weakens

on Mar 7, 2022
  • DASH has dropped further below following a weakening market support.
  • If the market support strengthens, the token could test the crucial resistance level at $100.
  • The prices could also consolidate, given the trend the market has been following over the past few weeks.

Follow Invezz on Telegram, Twitter, and Google News for instant updates >

The cryptocurrency market has failed to make any bold recovery despite several attempts. Earlier last week, the cryptocurrency market crossed the $2 trillion mark, but after a few days, the trend reversed, and the market is back to around $1.8 trillion.

DASH (DASH/USD) has slightly gained by 2.4% during the past 24 hours. At the time of writing, this token was trading at $89.83. DASH is still down on a monthly and yearly basis.

DASH succumbing to bearish pressure

The price of DASH has been succumbing to the bearish pressure across the cryptocurrency market. If the price drops again, the immediate support level at $83 will be tested. Once these support levels are tested, the price trend will determine whether bulls will be formed or not.

DASH’s price could go lower to $79 if it fails to hold crucial support levels and the market and buyer support are weak. This is a critical support level because such a slump will push the token’s yearly lows further below. At these levels, the buyers could rush into buying, hoping that the downtrend has been exhausted.

However, given that short-term traders are influencing prices, any major uptrend that DASH might attempt to make to recover from low levels might be countered shortly after. This could create a price consolidation in DASH’s prices between $82 and $88. The token could stay in this state until the broader market support kicks in.

Bulls could reverse

The cryptocurrency market bulls could kick in if the market support is high. Over the past few weeks, this has been the trend where frequent market spikes have been recorded before short-term traders taking profits contribute to a price dip.

If the price of DASH climbs, the upper support at $90 will definitely be tested. The ultimate price target lies at above $100. The token has tested this resistance level severally each time the market support shows signs of an uptrend. IF it holds $100, and traders that bought low fail to sell, DASH could climb higher towards $114.