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Verge Price Analysis: Can the Bulls Break XVG Above the Current Trading Range?

  • Verge is currently trading within a trading range between $0.0077 and $0.0064.
  • Support moving forward: $0.006858, $0.006459, $0.005889, $0.005551, $0.005324.
  • Resistance moving forward: $0.007258, $0.007753, $0.008689, $0.009779, $0.01086, $0.01115, $0.01202, $0.01242, $0.01334.

Verge has seen a small price increase totaling 3.31% over the past 24 hours of trading, bringing the current trading price up to $0.007160. The market has now seen a price decline totaling 5.55% over the past 7 trading days but is up by a total close to 20% over the past 30 trading days.

Verge is now ranked in 45th position as it presently holds a $103 million market cap value. The 51-month old project has seen a precipitous drop totaling 52% over the past 90 trading days as it now trades at a value that is 97% lower than the all-time high value.

XVG/USD Price Analysis

Analyzing the daily chart above, we can see that XVG/USD had dropped by a total of 64% from the high in November 2018 to the low in December 2018. The market had reached support at a downside 1.618 Fibonacci Extension level (drawn in blue) priced at $0.005324 in December 2018, where the market downtrend stalled and price action reversed.

We can see that during the second half of December 2018, price action began to rally but met resistance at the bearish .382 Fibonacci Retracement level (drawn in red) priced at $0.008689. This Fibonacci Retracement level is measured from the high in November 2018 to the low in December 2018.

The XVG/USD market was unable to break above this level of resistance and rolled over. Price action began to decline until reaching support at a short-term .5 Fibonacci Retracement level (drawn in green) priced at $0.006858 towards the end of December 2018.

It seemed that price action would hold above this level during the first week of 2019 but the market eventually broke below to find further support below at the .618 Fibonacci Retracement level (drawn in green) priced at $0.006459.

Trend: Neutral as the Market is Trading Within a Range

Since reaching the resistance at $0.006459, the XVG/USD market has been trading within a range trapped between $0.006459 as the lower boundary and $0.007753 as the upper boundary of the range.

If price action breaks above the upper boundary we can consider the market bullish, if it breaks below the range, we can consider the market bearish.

Where is the Support Below the Current Price?

If the bears begin to drive price action lower, we can expect immediate support to be located at the short-term .5 and .618 Fibonacci Retracement levels (drawn in green), priced at $0.006858 and $0.006459 (the lower boundary of the range) respectively.

If the sellers continue to push price action below the range, we can expect more support to be located at the short-term .786 and .886 Fibonacci Retracement levels (drawn in green), priced at $0.005889 and $0.005551 respectively.

The final level of support to highlight is then located at the previous downside 1.618 Fibonacci Extension level (drawn in blue) priced at $0.005324.

Where is the Resistance Above the Current Market Price?

If the buyers begin to push price action higher, they will meet resistance at the short-term .382 and .236 Fibonacci Retracement levels (drawn in green), priced at $0.007259 and $0.007753 respectively.

If the bulls continue to climb above the trading range, then further resistance can be located at the bearish .382 and .5 Fibonacci Retracement levels (drawn in red), priced at $0.008689 and $0.009779 respectively.

Further resistance above the $0.010 handle can then be located at the bearish .618 Fibonacci Retracement level (drawn in red) priced at $0.01086. This is followed by the short-term 1.414 and 1.618 Fibonacci Extension levels (drawn in purple), priced at $0.01115 and $0.01202 respectively.

Let us continue to quickly analyze price action for XVG/BTC over the recent period and highlight potential support and resistance moving forward.

XVG/BTC Price Analysis

Analyzing the XVG/BTC market from the daily chart above, we can see that price action had dropped by a significant 47% from the high seen in October 2018 to the low seen in December 2018. The market decline was halted as it reached support at a downside 1.272 FIbonacci Extension level (drawn in purple) priced at 138 SATS.

After reaching this level of support, the market reversed and began to climb again but was unable to break above resistance provided by the bearish .618 FIbonacci Retracement level (drawn in red) priced at 215 SATS.

The market then began to decline but found support at the .5 Fibonacci Retracement level (drawn in green) priced at 177 SATS in January 2019. the XVG/BTC market then attempted to break above the 215 SATS handle but failed to maintain above this level.

Price action is now currently trading at the 193 SATS handle, at the time of writing, and looks to be making another attempt toward 200 SATS.

Trend: Neutral

The market is neutral at this moment in time. However, if price action can break above the 200 SATS handle and hold above, we could consider the trading condition to be bullish in the short term.

For price action to be considered bearish, the market would need to break below 167 SATS.

Where is the Resistance Above the 200 SATS Level?

If the bulls begin to drive price action higher and break above 200 SATS, they will meet resistance at the bearish .618 and .786 Fibonacci Retracement levels (drawn in red), priced at 215 SATS and 236 SATS.

Further resistance above this can then be expected at the bearish .886 Fibonacci Retracement level priced at 249 SATS, closely followed by the 1.618 Fibonacci Extension level (drawn in purple) priced at 263 SATS.

Where is the Support Below the Market?

If the sellers regain momentum and push price action below the support at 186 SATS, we can expect further immediate support to be located at the short-term .5 and .618 Fibonacci Retracement levels (drawn in green), priced at 177 SATS and 167 SATS.

Support below this can be located at the short-term .786 and .886 Fibonacci Retracement levels (drawn in green) priced at 154 SATS and 147 SATS.

Conclusion

The XVG/BTC market seems to be heading in the upward direction. If this can continue and break above the 200 SATS handle, we could see XVG/USD breaking toward the upside of the current trading range.

Yaz Sheikh

Yaz is a cryptocurrency technical analyst with over 6 years of technical trading experience. As an Economics graduate he has taken a keen interest on the future potentials of blockchain in the financial industry. Removing crypto from the equation, Yaz loves to watch his favourite football team and keep up-to-date with the latest fights within the UFC.

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Yaz Sheikh

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