-Celo was trading with a bullish bias around $0.754 as buyers focused on undoing last week’s losses.
-Technical analysis revealed that the turndown that occurred between Monday and Tuesday last week offered late investors a chance to buy the altcoin at a discount as it appeared primed for an upswing.
-Celo bulls eye a 43% upswing to $1.08, with the next line of defense on Celo’s downside being the 100-day SMA currently at $0.587.
The price of the altcoin Celo has been on a roller-coaster ride in the past few weeks, with the price being driven by the ebbs and flows of the market. After a strong rally that saw the price of the altcoin peak at $0.766, the price took a nosedive and plummeted to $0.45, a 41% drop from its previous high. However, a bounce off the $0.45 support level allowed the price of Celo to start a recovery and regain some of the losses it had incurred.
At the moment, the Celo price is trading above the $0.735 demand zone and is being supported by the 200-day simple moving average (SMA). A further line of defense can be found at the 100-day SMA currently at $0.587, with additional support from the 50-day SMA at $0.563 and the major demand zone at $0.48. These support levels have allowed the price of Celo to embark on a recovery, with the bulls now eyeing a 43% upswing to $1.08.
Adding further credence to the bulls‘ argument is the emergence of a bullish cup-and-handle chart pattern. This pattern is often seen as a sign of a bullish breakout, which could be just what the price of the altcoin needs to push it higher. Additionally, the Moving Average Convergence Divergence (MACD) indicator is moving up, indicating a bullish momentum.
The coming week could be crucial for the price of Celo as a break and close above the $0.766 supply congestion zone could pave the way for a further upswing. However, if the price fails to break above this level, the bulls could be in for disappointment as the price could be headed lower. To avoid this situation, the buyers will need to ensure that the price stays above the support levels outlined above and maintain a strong bullish momentum.
