Bitcoin
BTC$48 084.51

-1.09%

Ethereum
ETH$3 421.97

-2.71%

Cardano
ADA$2.38

-0.94%

Binance Coin
BNB$411.53

-1.39%

Tether
USDT$0.998306

-0.16%

XRP
XRP$1.080662

-0.51%

Band Protocol (BAND): A Bounce or a Deeper Correction


#Band Protocol

Band Protocol (BAND), the token that serves the blockchain network for data oracles, has had an absolutely stunning performance this year as its yearly gains against USD stand at 1,113%, even though the market is in the state of deep correction.

BAND historical chart

The DeFi token also did well against Bitcoin - a 956% gain since the beginning of the year, and Ethereum - a 560% advantage over the second cryptocurrency. Last month, however, was colored red for BAND as it lost more than 30% across the board due to the ongoing correction that became a logical conclusion to the parabolic rise that ran its course when the price made a new all-time high at $17.48. BAND has rolled back by 60% since the ATH that fell in line with the developments on the cryptocurrency market and the quieting of the DeFi frenzy.

On the brink of the bullish bounce


Band Protocol is currently priced at $7.09 on the backdrop of the 12% gain in the last 24 hours. The market capitalization of the 73rd currency also suffered a significant decrease because of the correction and fell from $344 million to the present $145 million, while the average daily trading volume in the last 30 days fluctuated between $110 million and $330 million, though, at the beginning of July, it was barely exceeding $10 million. It comes to show that the demand for BAND remains high despite the losses, and traders are using the protracted bearish pause to accumulate more tokens before the presumed second phase of the uptrend commences. But the current situation on the macro level dictates that the participants might not see another episode of explosive bullish action for the next two to three months because of the traditional fragility of the cryptocurrency market in autumn.

The situation on the weekly time frame sees the price making the last effort to resolve the big bullish flag pattern to the upside, which might happen if BAND bounces off the middle line of Bollinger Bands in the direction of $12, while the signal line of MACD denies the bearish crossover.

1-week BAND/USDT chart

The bullish scenario would be viable only if this week’s candle closes above the middle line of BB. Should the price drop to the support line at $4.2, the immediate resolution to the upside would be almost impossible. In that case, we could see the consolidation around the psychological zone at $4 that converges perfectly with the 23.6% Fibonacci retracement level that adds some extra support capabilities. If that level gets broken to the downside, the trip below $2 would appear almost inevitable, especially if MACD would go for a bearish crossover.

The daily time frame shows that the buyers are beginning to push back as the current daily candle has risen above the close of all candles in the potential reverse area, depicted on the chart below.

1-day BAND/USDT chart

If the week of price action closes above that area, we could see a bounce to $10 that would bring the price back above the 50 EMA. The possibility of the upside recovery is further increased by the bullish crossover that is about to occur on MACD. In doing so, the price will remain above the 200 EMA, thus increasing the probability of uptrend restoration.

Author: Alex Paulson for Crypto-Rating.com

Related

Band Protocol (BAND): Determining the Retracement Depth
Band Protocol (BAND): Determining the Retracement Depth
Band Protocol (BAND) Aims at a New All-Time High
Band Protocol (BAND) Aims at a New All-Time High

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap Volume 24h
1 Bitcoin (BTC) BTC Bitcoin predictions 89.6% 18 $48 084.51 -1.09% 4.69% $904 956 857 058 $27 961 083 561
2 Ethereum (ETH) ETH Ethereum predictions 74% 50 $3 421.97 -2.71% 0.11% $402 372 528 292 $14 651 693 364
3 Cardano (ADA) ADA Cardano predictions 65.2% 67 $2.38 -0.94% -8.90% $76 104 680 024 $1 873 232 040
4 Binance Coin (BNB) BNB Binance Coin predictions 65.6% 70 $411.53 -1.39% -0.75% $69 192 704 719 $1 130 545 170
5 Tether (USDT) USDT Tether predictions 95.6% 1 $0.998306 -0.16% -0.24% $68 176 839 441 $56 276 623 103
6 XRP (XRP) XRP XRP predictions 67.2% 61 $1.080662 -0.51% -1.43% $50 382 872 054 $2 049 227 741
7 Solana (SOL) SOL Solana predictions 56.4% 90 $161.83 2.23% -9.89% $48 057 404 496 $4 399 561 667
8 Polkadot (DOT) DOT Polkadot predictions 60.8% 81 $34.04 -2.22% 7.04% $33 616 818 668 $1 565 978 665
9 Dogecoin (DOGE) DOGE Dogecoin predictions 66.8% 75 $0.240174 -1.47% -2.38% $31 547 290 825 $853 022 336
10 USD Coin (USDC) USDC USD Coin predictions 90.8% 1 $0.998160 -0.15% -0.25% $29 355 863 429 $1 913 601 923
11 Avalanche (AVAX) AVAX Avalanche predictions 67.6% 69 $72.99 1.73% 17.93% $16 079 530 755 $1 649 638 415
12 UniSwap (UNI) UNI UniSwap predictions 66.8% 64 $24.39 -1.92% 2.22% $14 920 531 930 $258 250 447
13 Terra (LUNA) LUNA Terra predictions 67.6% 64 $36.13 1.13% -13.85% $14 511 856 283 $813 065 559
14 Chainlink (LINK) LINK Chainlink predictions 74% 50 $28.55 -2.09% 2.09% $12 946 785 264 $933 348 492
15 Binance USD (BUSD) BUSD Binance USD predictions 94.8% 1 $0.998089 -0.17% -0.25% $12 789 067 210 $4 458 804 943

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2021 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.