Dash (DASH) Technical Analysis: Dash Text Goes Live, $169 Resistance Holding Back Bullish Continuation
Dash continues to assist the struggling citizens of Venezuela with the launch of ‘Dash Text’, a new feature that will enable Venezuelan citizens to send and receive DASH via SMS without the need for a smartphone or the internet. So far, this new release has catalyzed a positive reaction from Dash investors, spiking the asset up 10% to $173 before correcting to its current support along the 0.382 fib level at $165. If Dash wishes to carry on running, it will need to overcome a persistent resistance at $169, which has been a key level for this asset in the past and is currently hindering its progress.
Will DASH continue to rise after the bulls have rested, or will bears take back the asset and drive it back down? Let’s see what the charts say.
On the 1d DASH/USD chart, we can see that DASH recently broke bullish out of a falling wedge pattern on November 1st, after springboarding off the psychological $150 support at the 0.236 Fibonacci level.
During the Dash Text rally which followed after, bulls failed to carry the new momentum over the $169 level, which would have completed a bullish Adam and Eve reversal pattern.
Bullish Adam and Eve patterns are characterized by a bearish spike in the price action followed by a cup-like formation that both have a common entry and exit level, known as the ‘neckline’. In this case, we can see that the neckline for this pattern on the DASH chart was around this critical $169 mark.
Right now DASH appears to be regaining momentum after recovering along the $165 support, with a number of indicators over 1D candles forecasting a new uptrend soon.
-The Chaikin Money Flow indicator is spiking up toward the zero line as buying pressure greatly exceeds selling pressure in the current trend.
-The RSI is also continuing its climb up through the index channel as momentum builds.
-The 12MA is pulling even further away from the 26MA below, supported by increasingly larger bullish bars on the MACD histogram. We would like to see both moving averages converge above the signal line to confirm a strong continuation.
* Over 2hr candles we also have a ‘golden crossover’ between the 50EMA and the 200EMA. This is another promising signal of increasing short-term bullish momentum. However, we still have a long way to go before this crossover appears on the 1D chart.
DASH (DASH) Price Targets
All ROI’s are calculated from the asset’s current value at $168.12.
PT1: 0.5 fib level / $178.24 (5.89% ROI)
PT2: 0.618 fib level / $190.59 (13.37% ROI)
PT3: 0.786 fib level / $208.18 (23.83% ROI)