Has Helium Coin’s Relief Rally Reached Its Peak?

The Helium coin price has recovered 77% over the past four days. The bull run currently challenges the $5.5 resistance, indicating buyers attempt for another leg higher. In addition, a significant pump in volume activity bolsters the same cause and can push the altcoin to the $7 mark.

Key points

• The HNT price face supply pressure at the $5.5 resistance
• The $5.5 resistance breakout may surge prices by 26.6%
• The intraday trading volume in the Helium coin is $89.6 Million, indicating a 76.5% gain.

Source- tradingview

Helium coin price analysis

The HNT/USDT pair witnessed a massive sell-off in august which plunged the price to a new 52-week low of $3.28. However, on September 9th, the discounted price attracted more buyers and pushed the prices 58% higher to $5.5.

Furthermore, the helium coin recovery rally retraced for the next two days before continuing its bull run. Today, the coin price jumped 20% and challenged the shared resistance of 0.235 Fibonacci retracement level, 20-day EMA, and $5.5 mark.

A candlestick closing above the $5.5 mark could extend the recovery rally to $7 or $8.2. This $8.2 resistance aligned with 0.5 FIB forms a high area of interest which could assist sellers in resuming the bearish fall.

Moreover, high price rejection at the $5.5 mark validates it as viable support, and therefore a daily candle closing below this level will continue the price correction right away.

On a contrary note, a breakout above $8.2 will weaken the bearish momentum and offer an entry sign of trend reversal.

Technical indicator:

MACD indicator: a bullish crossover between the fast and slow lines bolsters the $5.5 breakout and potential recovery. Moreover, the histogram chart shows long green bars indicating strong buying activity from traders.   

DMA: the 20 and 50 DMA acts as a dynamic resistance level against coin buyers.

Bollinger band indicator: along with the $5.5 breakout, the Helium coin price breached the indicator midline suggesting the buying are aggressive than the average trading activity.

• Resistance levels- $7 and $8.2
• Support levels- $5.5 and $4.6