Dash cryptocurrency price is 5% down at the time of writing after bears strongly rejected the surge to $100
DASH price smashed through multiple price levels to touch highs of $105 before bears pushed back and drove it towards major support levels. The rejection sees DASH coin trade at prices around which it exploded a few weeks ago following a series of positive news.
While bulls retain a significant advantage going into the weekend, a continuation of the downward pressure as seen on the 4-hour and hourly charts suggests that DASH/USD could retrace to $68 before rebounding.
DASH/USD is down 5.2% in the past 24 hours, with the downside coming after the bulls rallied over 15% to break the psychological barrier at $100. The performance was only overshadowed by Bitcoin’s impressive run to highs of $16,300 as bulls eyed $17,000 to cement their advantage towards a new all-time high.
But while bulls have strong support above current prices, the bears are showing the conviction that might see them take control short term. If this happens, DASH/USD could dive beneath a resistance line that has capped movement since the 23rd of October.
As seen on the daily chart, the upside printed a long wick to suggest that it was likely to crumble to support levels below. Notably, the price steadied above key resistance levels at the SMA-50, 100-SMA and 200-SMA.
The swift rejection sent DASH/USD to lows of $72 before the bulls pushed higher to trade at around the 20th of October highs near $77. The downward pressure though remains as the RSI has begun to dip to suggest that the bears are increasingly taking control.
Bulls are likely to defend the area around $75 as suggested by IntoTheBlock’s In/Out of the Money Around Price (IOMAP) data.
As per the data, a significant number of Dash holders acquired the token at prices around $72.63—$75.42. The 100-SMA and 200-SMA currently provide support at $75.93 and $75.48 respectively, with further comfort found at the 50-SMA at $69.13 as seen on the daily chart.
DASH/USD 4-hour chart
On the 4-hour chart, the price remains above the moving averages, but the price action includes a series of lower-highs and lower-lows to suggest that the bulls are weakening. An extended run by the bears could see DASH retrace to $68, an area where the 50-SMA, 100-SMA and 200-SMA currently sit.
On the upside, bulls face strong downward pressure near $79.4, an area that the sellers have previously defended. If there’s a breakout above this line, the buyers can test the $90 price area.