STEEM/BTC on the daily chart looked to have finally formed a consolidating channel last week. It met the criteria making three pivot points while also testing and holding support.
That lasted all of a day or so as we broke below the .00068 support level. We saw price action try to make a run back up to it today only to sell off leaving us with a candle with a noticeable upper wick.
Looking at the chart the support of the prior channel is now a new resistance point.
As for where the price of steem can go from here, well there are a few notable support levels on Bittrex, but as for Poloniex there is no price history below the current price.
Are only option is to come up with a potential support level by doing the following:
Potential Support
- Take the range of the prior channel and subtract it from the new resistance of .00068
Prior range was .0012 to .00068 = .00052
New resistance of .00068 - .00052 = .00016 potential support target.
It's concerning that this could be the next level of support on Poloniex. There will definitely be gyrations on any further moves lower, but let's hope one of the Bittrex support levels takes hold on Poloniex.
Here's hoping for a turnaround and push higher!
Regards,
Mitchell J