Post By: CryptosHeadlines.com
The tired uptrend in LOOM’s price suggests a small pullback. Is it a good time to buy during this dip?
Since early September, Loom coin’s price has been exceptional, surging from $0.0374 to $0.2948, a 682.6% gain. However, it’s now facing resistance at the $3 mark, suggesting a slowdown in the bullish trend.
LOOM Price Faces Resistance at $3, Potential 27.5% Correction Ahead
The LOOM coin price is encountering strong resistance at the $3 level.
There’s a possibility of a 27.5% price drop before finding significant support at $2.
Intraday trading volume for LOOM is at $276 million, showing a 58% decrease.
Source- Tradingview
LOOM Coin’s Parabolic Surge Raises Concerns of Correction
The LOOM coin price has been surging in the daily chart, with notable trading activity on the South Korean exchange Upbit.
Currently, LOOM is trading at $0.27, with a small daily gain of $0.5.
However, it faces resistance at $0.3, leading to indecision among traders and signaling a potential correction.
It’s common for an asset to retrace after a significant rally, providing an opportunity for buyers to acquire it at a lower price.
Key Support Levels for LOOM Coin in Potential Correction
As LOOM Coin faces a potential correction, the Fibonacci Retracement Tool can help identify important support levels.
The first significant support is at $0.33, coinciding with the 23.6% Fibonacci level, followed by the psychological support at $0.20, aligning with the 38.2% Fibonacci retracement.
Another crucial support level is at $0.165, corresponding to a 50% retracement.
The 20-day and 50-day Exponential Moving Averages (EMA) could also provide strong support during the retracement.
The daily Relative Strength Index (RSI) shows potential for a correction, with an overbought reading of 86%.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.