Bitcoin
BTC$42 098.18

-3.78%

Ethereum
ETH$2 929.10

-5.31%

Tether
USDT$1.000360

0.04%

Cardano
ADA$2.13

-4.16%

Binance Coin
BNB$340.05

-2.66%

XRP
XRP$0.938176

-2.60%

DigiByte: Establishing Foundation for the Bull Market


#DigiByte

DigiByte (DGB) has rightfully earned the status of the most profitable coin of the month. Over that period of time, DGB has been going into a stratosphere like a space shuttle, gaining a mind-boggling 331.4%, as of the time of writing. Its closest rival, Hive Token (HIVE), gained "only" 216% - Chainlink (LINK) closes the leading trio with 67%.    

There is no apparent reason as to why DigiByte has had such a monstrous price upsurge because the project didn't hold any crucial fundamental upgrades lately or made official announcements of the upcoming ones. Nevertheless, the coin, which is presently ranked 36th, appears to have taken the recent market meltdown as an opportunity to bottom out and begin a massive bull rally, which now has the potential to transform into an uptrend should the price successfully pass the resistance at $0.016

An uptrend in the making


But being a trader, one shouldn't engage in a lot of detective work with regard to why DigiByte experiences such a huge bull run that contradicts the overall context in the cryptocurrency market. This surge is relatively healthy since it took a bit of time to gain momentum. Also, it runs hand-in-hand with an appropriately large buying volume and has a healthy picture on most indicators. Therefore, although being somewhat unexpected and already overextended, the rapid price increase of DGB can't be labeled as a mere pump-and-dump scheme.

It is more likely that we are witnessing a revival of a cryptocurrency that had been laying at the bottom for quite a while, and we will find out the reason behind it soon enough. But right now, traders must work out the strategy for the likely future scenarios of DigiByte's price action.

1-week DGB/USD chart

Firstly, traders should acknowledge the fact that DGB is now in the midst of making a heroic attempt at reversing the long-standing downtrend that began more than a year ago when the price action had formed a textbook double top pattern. Since that time, DigiByte has been in a freefall, having gone down from $0.017 all the way to $0.0016, losing many traders and holders in the process.

However, the observant traders should have noticed a bullish divergence that had formed in the period from December 30, 2109 until March 9, 2020, and throughout the market crash. Entering a long position in that time of panic certainly was extremely risky, but those who took that risk are now reaping enormous benefits. Right now, Stochastic shows no intention of crossing under - in fact, it is yet to enter an overbought region. Therefore, we have the reason to believe that DigiByte will spend the next week beating against $0.016, and then begin a full-on retracement, the bottom of which, according to our prognosis, will be at $0.012. The price could even dive a bit deeper, but the most crucial thing for DigiByte at this point is to stay above the 200 EMA, a foundation for any sustainable uptrend.

To summarize, it is way too early to get overly optimistic about DigiByte as the price still needs to show a healthy retracement, but once DGB establishes a foothold above $0.016, it would be bullish all the way.

Author: Alex Paulson for Crypto-Rating.com

Related

DigiByte (DGB): Buyers Are Protecting the Uptrend
DigiByte (DGB): Buyers Are Protecting the Uptrend
DigiByte (DGB): The Uptrend is Bound to Continue
DigiByte (DGB): The Uptrend is Bound to Continue
DigiByte (DGB): Going Strong After Long Consolidation
DigiByte (DGB): Going Strong After Long Consolidation
DigiByte is One Step Away from the Fully-Fledged Uptrend
DigiByte is One Step Away from the Fully-Fledged Uptrend

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap Volume 24h
1 Bitcoin (BTC) BTC Bitcoin predictions 75.6% 41 $42 098.18 -3.78% -2.79% $792 647 747 198 $31 255 848 261
2 Ethereum (ETH) ETH Ethereum predictions 69.2% 55 $2 929.10 -5.31% -4.28% $344 776 996 910 $17 375 599 531
3 Tether (USDT) USDT Tether predictions 96% 1 $1.000360 0.04% 0.03% $68 567 748 968 $68 145 566 729
4 Cardano (ADA) ADA Cardano predictions 64.8% 70 $2.13 -4.16% -1.60% $68 342 556 564 $2 772 300 629
5 Binance Coin (BNB) BNB Binance Coin predictions 72.8% 59 $340.05 -2.66% -8.68% $57 174 896 989 $1 453 895 839
6 XRP (XRP) XRP XRP predictions 71.6% 50 $0.938176 -2.60% -1.10% $43 829 348 412 $2 741 251 966
7 Solana (SOL) SOL Solana predictions 64.8% 68 $135.72 -7.90% -4.56% $40 364 707 779 $2 586 556 062
8 USD Coin (USDC) USDC USD Coin predictions 90.8% 1 $1.000370 0.06% 0.02% $31 272 251 602 $3 236 353 928
9 Polkadot (DOT) DOT Polkadot predictions 68.4% 68 $27.94 -4.36% -5.91% $27 596 817 584 $1 527 139 483
10 Dogecoin (DOGE) DOGE Dogecoin predictions 68.8% 63 $0.201790 -2.23% -4.92% $26 530 096 140 $844 248 344
11 UniSwap (UNI) UNI UniSwap predictions 68% 68 $24.72 1.41% 15.89% $15 118 981 827 $1 169 207 809
12 Avalanche (AVAX) AVAX Avalanche predictions 58.4% 84 $66.71 -5.55% 4.62% $14 695 292 582 $1 112 779 061
13 Terra (LUNA) LUNA Terra predictions 68% 61 $35.63 -3.96% 23.38% $14 249 462 275 $1 572 224 921
14 Binance USD (BUSD) BUSD Binance USD predictions 93.2% 1 $1.000220 0.05% 0.01% $13 529 060 969 $4 713 979 833
15 Chainlink (LINK) LINK Chainlink predictions 65.6% 70 $23.69 -2.65% -1.52% $10 779 957 156 $1 061 112 948

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.