Technical Analysis - DigiByte
DGB/BTC - 02/12/2020
As shown above, we will be updating the technical analysis of DGB/BTC from the 21st of January.
Since the last analysis, we have not seen a significant breakout yet, even though almost all altcoins are making double % moves recently.
We have seen a minor breakdown, creating some bullish divergences and now an approach back into the key-area of support, which potentially could be leading to a breakout.
The MKAST Algorithm is still on a buy-signal and that with good reason as we always see. This buy signal even means that DGB is bullish form an also perspective.
Furthermore, looking at the TJ-Index and the DGB chart, which has made a few lows recently, we were able to detect a few bullish divergences, which have made the supposed “breakdown” actually a bullish “fakeout.”
The Buy-Volume is in and over significant levels, which points out that a considerable amount of buyers is stepping in and willing to buy DGB at the local levels. One slightly controversial idea would be a possible inverted head and shoulders, which could be set up here. It is rather unlikely, but worth mentioning that should we come back for a re-test of the lower white line at 68 sats, it would be the textbook bottom of the right shoulder, where the breakout from this structure would also perfectly align with the downtrend resistance. An experienced trader would look for trades around the mentioned levels or at a clean breakout.
This Technical Analysis is made by Kong Trading. The provided Analysis should not be considered financial advice!