Decentraland / Bitcoin Technical Analysis: Listing FrenzyDecentraland / Bitcoin Short-term price analysis
Decentraland has turned bullish against Bitcoin, with the MANA / BTC pair surging to its highest trading level since July 2018.
The four-hour time frame shows a bullish breakout has occurred from an ascending triangle pattern, with the latest move higher extending past the upside objective of the pattern.
Technical indicators on the four-hour time frame are currently generating a strong buy signal.
Pattern Watch
The four-hour time frame is showing that a bullish inverted head and shoulders pattern is starting to take shape.
Relative Strength Index
The Relative Strength Index on the four-hour time is bullish, although it has reached overbought conditions.
MACD Indicator
The MACD indicator on the four-hour time frame is bullish and continues to generate a strong buy signal.
Fundamental Analysis
The recent price surge is attributed to the listing of MANA / KRW pair on UPbit, which should increase the liquidity of the cryptocurrency.
Decentraland / Bitcoin Medium-term price analysis
Decentraland has a strong bullish medium-term outlook against Bitcoin, with the MANA / BTC pair soaring in value.
Buyers have invalidated a smaller head and shoulders pattern on the daily time frame, although a much larger head and shoulders pattern still remains in play.
Technical indicators on the daily time frame closely mirror the four-hour time frame, with the MACD generating a strong bullish signal, while the RSI has moved into overbought territory.
Pattern Watch
Caution is advised until the larger head and shoulders pattern on the daily time frame is invalidated.
Relative Strength Index
The RSI indicator has moved into overbought territory on the daily time frame.
MACD Indicator
The MACD indicator is generating a strong buy signal on the daily time frame.
Fundamental Analysis
From the fundamental perspective, the project also remains interesting. In February, it announced a partnership with HTC, to offer the Decentraland Marketplace on the EXODUS 1, the world’s first blockchain-enabled phone. This could potentially boost the adoption of Decentraland technology and have a positive effect on the value of the project.
Conclusion
Both the four-hour and daily time frames highlight the strong bullish breakout that has recently occurred in the MANA / BTC pair. If bulls can eradicate the larger head and shoulders pattern on the daily time frame, Decentraland could easily soar towards a new all-time trading high.
