LOKA USDT Daily TF LOAK USDT Trade Idea.
Historical Trends:
The price has seen substantial volatility since early 2024, with a major peak above $0.350 in mid-year followed by a prolonged bearish phase.
The price has consolidated near the $0.165 to $0.176 support zone (M-W-Sup: likely Monthly or Weekly Support).
Support & Resistance Zones
Support:
Major support appears around the $0.165 to $0.176 zone, which is being retested. This level is holding well and represents a potential accumulation zone.
Resistance:
Immediate resistance lies around $0.250, with a potential move towards the $0.340 zone, as indicated by the blue projection.
Projected Path (Bullish Scenario)
The projection suggests a breakout from the consolidation around $0.201. The price could move upwards in a zigzag pattern, with the next major target being around $0.340. This implies bullish momentum for the upcoming months.
RSI Double Bottom
Upon closer inspection of the RSI:
The RSI made a low around 32.00 in early September, indicating oversold conditions.
It then bounced and made another low, slightly higher, around 47.01, forming the double bottom pattern.
This formation is often a precursor to a bullish trend reversal. As the RSI moves upward, it could signal stronger buying momentum in the near future.
The double bottom RSI pattern confirms the likelihood of upward price movement, which aligns with the chart's bullish projection.
Overall Confirmation
Price Action: The bounce from the M-W support zone around $0.165 is holding, and combined with the RSI double bottom, this strengthens the probability of a bullish breakout.
Key Levels to Watch:
If the RSI continues to climb and breaks above 60, this would further confirm a stronger bullish trend.
The projected price levels of $0.250 and $0.340 remain valid targets based on this setup.
