Many HIVE holders are still confused about whether they should invest in HIVE or not. Keep in mind that before investing in any coin, chart analysis is extremely important.
I believe that by simply reading and understanding the charts you can get at least a 50% hint about whether you should invest or not. Thats why today I tried to analyze the HIVE chart across three different timeframes so I could understand it better myself and explain it to all of you as well.
As you can see on all three timeframes there was a spike that pushed the price close to 0.09. It would have been much better if it had crossed 0.10 because that would have confirmed a strong bullish signal. Now lets analyze it timeframe by timeframe.
No aggressive continuation Dump
According to the 1day timeframe which is the most important because larger timeframes always help you understand the structure and candle movement more clearly and provide a better overall picture..
What I see is a huge impulsive candle moving from around 0.058 to nearly 0.09. Of course there was a strong rejection from the top but the best and most important thing is that the price stabilized above its old base instead of returning to it.
This indicates that investors still have control over the asset and that there is now a possibility of a trend reversal.
Another important thing is that after the dump the daily candles became small and compressed which indicates a bullish signal. This usually means that smart money distributed part of their positions, weak hands exited the market and now the market is preparing to decide its next direction.
FVG Spotted and probably will be filled
If I look at the 4hour timeframe I can see either a bullish flag or a distribution range. We can also see that buyers have defended the 0.065 price level multiple times. So far we have seen around 12 candles that successfully defended the 0.065 zone according to 4hour timeframes. And 4 candles according to 1D timeframe..
Another thing I forgot to mention on the daily timeframe is that the FVG has already been successfully filled as you can also see in the image.
Now lets talk about the bullish signs on the 4hour timeframe. We can still see another FVG in the range between 0.072 and 0.08 and no candle has filled it yet. Most likely this FVG will eventually be filled which is another bullish indication.
Multiple FVGs in 1H TF as well
If I move to an even smaller timeframe the 1hour chart shows that a move can happen at any time. There is also a strong support level formed around 0.08 and the price could easily revisit that zone if needed.
To summarize everything... whenever we previously saw HIVE pump the price usually returned to touch its old base within two to three days. But this time you can clearly see that after pumping the price stabilized and did not return to its old base. This means it is trying to build a new support and possibly create a new direction from here.
I am not a financial advisor but this is what I personally understand from the chart analysis. Now its up to you to decide whether you want to invest or wait. I have shared everything that was on my mind the rest is up to you to do your own analysis and make your own investment decisions step by step.
I hope you guys will like this post and is interesting as well. If you find it informative then dont forget to give me a support. Share you reviews in the comment section below. Thank you all for your time reading the content.
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REMEMBER: We should prepare for the unexpected and always hope for the best. Life may not be easy but you must do your best and leave the rest to God...
