MINA hit an important level: Momentum and liquidity analysisBefore we analyse the chart, lets understand what MINA actually is:
Utilizes Zero-Knowledge Succinct Non-Interactive Arguments of Knowledge (zk-SNARKs) for authentication.
Uses a prover (snarker) to ensure each block commits to the state.
Implements Ouroboros Samasika proof-of-stake mechanism for consensus.
Verifiers: Users who authenticate consensus information using zk-SNARKs.
Block Producers: Stakers or miners who bundle transactions into blocks and earn rewards.
Snarkers: Producers of low-cost zk-SNARKs used in transaction verification.
Cost Optimization: Snarkers compete to produce low-cost SNARKs.
SNARK stands for "Succinct Non-interactive Argument of Knowledge." It is a cryptographic proof that allows someone to authenticate information without revealing the underlying data. SNARKs are used in various blockchain protocols, including Mina Protocol.
Snarkers use Zero-knowledge, which means that they allow a prover /node to prove the validity of a statement to a verifier / node without revealing any additional information beyond the validity itself.
Despite this relativle modern blockchain format, the price of MINA has been taking a big hit. This is mostly because they started up at the end of the bull run, which means that they wouldn't have much room to grow in the bear market...
I want you guys to try to get a fundamental understanding of the coins that you are trading, such that you can understand the tokenomics better. That way you have a better understanding of the supply and what drives the demand of the project
Chart analysis for MINA
As of right now, the price has hit the bottom of the triangle that MINA is going towards, momentum seems to have reversed which means we could see some upside from here.
The Visible Range Volume Profile also shows that there is a lot of liquidity at the levels near the 4H value Line (Contraction zone), this is also where the Point of Control is. The TDIGM is also showing that the momentum line (black line), is being rejected off the bollinger band, statistically, this momentum will be mean reverting, which is why we might see some upside in the mid-term.
That's why I see the potential trade that is displayed on the chart.
The first target is at the 0.382 fib level.
ps. I want to thank all the followers from MJI786's channel, I hope to give you some great insights on the market. Stay safe!
I have linked an idea from MJI786 that uses the same concept, but on a higher timeframe with more precise targets.
