Daily Steemit price analysis broke 4 hour Parabolic SAR very BULLISH!
Steem has been an absolute rocket ship pushing all time highs.
Again, it isn't quite clear what is causing this moon shot, but it is more than just Steem going along for the ride. Altcoins in general having been going up for the greater part of 2 weeks now.
This first chart is a 4 HR chart showing a period of 2 weeks of Steem priced in USD.
As you can see it is an absolute moon shot!
Why does the daily chart excite me you might ask?
Well it is quite simple actually. Take a look at the pink line above. That is the 200 MA. If you look very closely you can see that as of today the price is actually peaking above it...
Why is that significant?
Steem hasn't really been above it's 200 MA since... ever! The 200 MA is a very powerful moving average that is looked at very closely by a lot of traders.
Since we have been below it for such a long period of time and it has been trending down, the first test is often met with some resistance. Which, in this case would mean that a slight pull back could be in store once it is touched.
However, once that slight pullback is over it often charges through the MA and gains momentum as traders jump on board the powerful technical move.
Breaking the 200 MA to the upside is often a signal of a longer term trend change as well. Higher highs and higher lows could be soon to follow.
One more thing that gets me excited about those charts above...
The volume.
Take a look at the volume on the daily chart. As of right now we are likely on pace to have one of the highest (if not the highest) volume trading days ever.
Over $16 million dollar volume has traded in the last 24 hours. Big money is moving in and out.
That is significant because it means a lot of steem is changing hands at higher prices. As an investor I want as much steem trading hands at as high of a price as possible. The more steem that trades for higher prices the more likely it is to hold a higher price.
Basically it helps in setting a new floor.
The token’s market cap has jumped from $13 to $260 million. The number of new users, transactions and posts has tripled in the three months that have passed since the platform was launched. Steem’s everyday transaction volume on the blockchain has increased to several hundred thousand dollars.
I do not own Steem and the above analysis is just my opinion please come to your own conclusions on Steem.