Monday, January 17

IOTA rises 11% and turns bullish in the short term. Can we expect higher profits?

The cryptocurrency IOTA has just woken up with a lot of bullish force, jumping 11.10% during the last 24 hours and 28.32% in the last 7 days, which is generating a good short-term technical scenario.

At the time of this writing IOTA is trading at $ 1.29. Its market capitalization is $ 3.656 million, which is why it is ranked 44th in the Crypto Online ranking.

The catalyst behind the recent rally was the announcement of the new function of this network, with which it will allow staking of the token to obtain rewards and secure its blockchain.

The function is not online yet, although the relevant tests have already been carried out. It is expected that on December 28, IOTA coins can be deposited in the staking protocol.

Yesterday the term called pre-staking, in which it is hoped that users can prepare for the launch.

Short-term IOTA uptrend technical analysis

With the strong price rally seen yesterday, an inverted Shoulder Head Shoulder figure was pierced, confirming the trend reversal signal that this chart formation throws out.

Now clearly the short-term trend for IOTA is bullish, so we should expect further gains over the next few days.

During the current day the price has been making a small correction. This process is likely to extend a bit further, but the dominant bullish force in the IOTA market should stop selling soon, and start a new momentum. The closest target is to hit $ 1.51.

IOTA turns bullish in the short term.  Chart Source: TradingView.
IOTA turns bullish in the short term. Chart source: TradingView.

IOTA still needs to go through a large symmetrical rectangle

From the weekly IOTA vs USDT chart we see that the short-term uptrend at the moment is not very relevant, since the price is still locked in a large lateral range, shaped like a symmetrical triangle.

However, the fact that this cryptocurrency has locked itself on this side, after a strong bullish rally earlier in the year, tells us that the low volatility is probably a break before continuing to the upside.

To confirm that the medium / long-term uptrend will be resumed, IOTA needs to break through the resistance at the $ 1.47 price.

In case the support at $ 1.00 is lost, then we can expect higher selling next. At the moment, this is not very likely to happen.

All our publications are informative, so in no case should they be followed as investment advice.

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