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Stacks ($STX) 20% pump over the past 24 hours took it beyond the $1.61 resistance level. This revealed the massive bullish strength on the $STX uptrend after twice suffering a price rejection at the $1.61 level over the past week.
As of the time of writing, $STX was trading at $1.70 on the four-hour timeframe. Following the break of the resistance level, STX could reach $2 in the near term.
Price Prediction: Another 15% pump could see STX reach $2
Analyzing $STX price action on the four-hour timeframe highlighted the consistent bullish uptrend. With the bullish trendline acting as a dynamic support level, $STX has registered significant gains over the past three weeks.
With the resistance level flipped to support, buyers can attempt to drive the price toward $2. A good entry point for traders will be a retest of the new support at $1.61. This will produce a 15% risk-to-reward with the next resistance level at $1.94.
Emmanuel Musa
The Moving Average Convergence Divergence (MACD) indicator noted the buying momentum with a bullish crossover in the last 12 hours. This along with green histogram bars above the zero level signaled a sustained uptrend could materialize in the short term.
Similarly, the Relative Strength Index (RSI) which is used to track price momentum echoed the bullish momentum with a reading of 57, above the neutral 50 mark.
Thus, the price prediction for the short term remains bullish if price stays above the current support level. A bearish candle below the support level could signal a shift in momentum and traders should closely track $STX’s price action if the price remains at this key support level.
Disclaimer: This article does not constitute trading, investment, financial, or other types of advice. It is solely the writer’s opinion. Please conduct your due diligence before making any trading or investment decisions.
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