As the cryptocurrency market regains momentum, Polkadot and Kusama have moved beyond significant resistance levels.
Kusama, the canary network for the Polkadot blockchain, has lately experienced a market upswing. The technicals do, however, suggest a quick fix that would let DOT take the lead.
Rally Posts by Kusama
During the most recent market rebound, Kusama beat Polkadot, but there are differences in the near-term prognosis for the two assets. Over the past 12 hours, Kusama has increased by about 13 percent as the cryptocurrency market experiences fresh gains. The Polkadot Canary Network increased from a low of $61 to a high of $69 in the immediate area. Despite the price movement going up, KSM currently appears to be headed for a surge of profit-taking.
On Kusama’s daily chart, the Tom DeMark (TD) Sequential indicator has displayed a sell signal. After KSM reached the 32 percent upside goal that a descending triangle had predicted, the bearish formation emerged. The bearish view may be strengthened by further selling pressure, which may cause a fall below $61 or perhaps $57.
For Kusama to stand a chance of refuting the bearish thesis, a daily candlestick would probably need to be printed above $68. The crucial resistance zones to keep an eye on if it succeeds are $73, $76, and $81.
Polkadot seems to have more room to climb whereas Kusama appears to be approaching a local summit. DOT’s gain of 4.4 percent over the previous 12 hours allowed it to surpass the 50-day moving average and close at $7.60 on the daily chart. The upswing may continue if there is a clear closing above this significant resistance region.
Polkadot had a high probability of recording a 20% upswing toward $9.40 because it emerged from a parallel sinking channel on July 18. To get there, DOT must, however, break through the $8 resistance level and the 50-day moving average. If it doesn’t, it can see a sharp correction that drops it to $6.80.
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