Will Algorand (ALGO) surpass the $1 psychological milestone as the recovery run extends for the fourth week?
Algorand is gaining traction in the cryptocurrency market, inching closer to a $3 billion market valuation. After being an underperformer, the optimistic outlook for ALGO is beginning to take shape under the new Donald Trump administration.
But will the recovery rally in Algorand prices continue after four consecutive positive weeks? Let’s take a closer look.
Algorand Price Analysis
The Algorand price action showcases a bullish breakout of a long-coming resistance trend line in the weekly chart. The current recovery run started with a bullish engulfing candle formed in the early week of November.
This accounted for a 32% surge, creating the first bullish engulfing candle in this recovery rally’s weekly chart. Since then, Algorand’s price action has formed four consecutive bullish candles and has surpassed the $0.35 mark.
Starting from the $0.10 psychological mark, the bull run now accounts for a 225% surge. The breakout rally is challenging the 200-week EMA line, slightly below the 50% Fibonacci level.
Following the bullish crossover of the 100-week EMA line, the upward movement in the 50-week EMA line increases the likelihood of another bullish crossover. With the ongoing recovery, the merged MACD and signal lines have significantly diverged in a bullish alignment, and the positive histograms have surged.
As a result, the technical indicators maintain a positive outlook for the upcoming Algorand price trend. The current rally is testing a long-standing resistance level that has capped the Algorand price since late 2022.
Algorand Price Targets
Along with the Fibonacci level, a high-supply resistance zone extending from $0.36 to $0.39 presents the immediate bearish obstacle.
A bullish breakout above this level would signal a change in market character and could propel the price toward the 78.60% Fibonacci level. The key Fibonacci level stands at $1.17, followed by the next price target at $2.37.
On the other hand, if the bullish momentum fails, the price may retest the 100-week EMA at $0.2278, with the next support level at $0.1711.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
