The Blue Chip Found Its Bottom? - STRATIS Technical Analysis
The Blue Chip Found Its Bottom? - STRATIS Technical Analysis

By chrispop | Chris "El Rey" TA series | 21 May 2019

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I haven't managed to put up an article for a while, but I feel that now it is an important moment in Stratis history and I don't want to miss the opportunity to showcase my analysis on it. Getting right into it, the opening price of Stratis on Bittrex was 0.00003890 BTC back in 10th August 2016! Just mentioning this date makes me nostalgic so bear with me.

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The monthly chart looks exciting from my perspective. We are not even at 3x the exchange opening price and the 10k sats level is a strong psychological level. This makes me put some weight on the hypothesis that 10,000 might be the bottom. Though let's go on the lower timeframes and dissect this magnificent cryptocurrency.

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Weekly is not telling us much but the daily is where you can make a really good picture of where we are at the moment. As you can see in the chart above on 15th April we've broken a very important & obvious support line followed by a 50% dump in price. This is crypto guys so you'd better get used to this kind of price movements.

Getting back to the present we have conquered the 10 SMA, RSI broke above the EMA and got out of the critical oversold area which is quite bullish to me. Moreover the Stochastic Oscillator turned up, but I would wait for a candle open and close above the 21 EMA before jumping to conclusions. For the time being it is imperative to close today's candle above the 10 SMA.

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I must say that the 4 hour timeframe is BEAUTIFUL for a trader and it gives us so much information! You can see above that we had a pretty strong downtrend from that horizontal break and a 3-drive RSI bullish divergence propelled the price from the 10k psychological level. Once we break the 13k horizontal resistance and we open and close a candle above the 88 cyane exponential I'd definitely want to be long on this one.

Ideally the 21 EMA should hold in order to keep the momentum. The Stoch and the RSI are both at the mid-point so we might consolidate for a bit in this area. I won't get into even lower TFs as they look a little bit messier and I think this is enough for you to make a clear picture over the STRAT price action.

The above written is my objective analysis on the charts, but there is much more in the play at this stage.. Of course that I am talking about the imminent full release of the Stratis Smart Contracts. This release will allow any party to develop and deploy their own C# smart contract on the Cirrus sidechain or create a separate sidechain.

We must not underestimate the fundamental power of supply locking and consumption. Ethereum is a smart contract platform at its foundation and you see what happened with its price once it began to be used for gas fees.

Thank you for reading my analysis and if you have any suggestions, feedback or questions I highly encourage you to post them in the comments!

DISCLAIMER: This is NOT intended to be financial advice. The content in my articles strictly represents my personal technical analysis and views of the market.

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chrispop
chrispop

Professional Trader, Young and Ambitious Entrepreneur, Crypto Veteran & Enthusiast Investor, Passionate about Cars and Football


Chris "El Rey" TA series
Chris "El Rey" TA series

Technical analysis and outlooks on the crypto market realised by "El Rey", a seasoned trader who has been battle tested in the fire of both crypto and forex market environments.

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