Basic Attention Token (BAT) seems to be ready for take-off on the weekly chart !

By Djordi | DJCrypto | 16 Aug 2020


Hi everyone,

Here is a post about Basic Attention Token and why I think it is getting ready to move to the next level upwards ! Since BAT is a popular method of tipping people and you can tip people with BAT on Publis0x I decided to have a look.

By the way at the time of writing the article (what a timing) I see BAT is fighting the 0,30$ level which is great ! I will still go on with the article I just created, but it might actually change in terms of the indicator RSI and CCI, but it depends on the weekly close.

I am going to check the weekly charts on Binance and I will show you some indications :

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Here is a weekly chart against the Dollar with the indicator OBV (On Balance Volume). It is one of my favorite indicators and it shows accumulation or distribution. You can clearly see a downtrend on price since the all-time high and an uptrend on the OBV, which means accumulation. This is a great sign for BAT ! I have drawn a channel (red lines) which show both touches at the top and touches at the bottom. What is very interesting to see is that we finally broke out a couple of weeks back and it has clearly tested the red line now as support. We have bounced off of it to the upside last week and this week seems to continue a little bit. OBV is showing continuation in terms of accumulation so a further rise should be in the cards. You can clearly see as well that OBV is a lot higher than when prices were around 0,50$ in April 2019. This should be an indication that price should at least reach the 0,50$ level again in the future.

Here is another chart with the indicator RSI (Relative Strength Index) and the CCI (Commodity Channel Index) :

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For both indicators BAT is currently creating a small bearish divergence but the day is not yet over for a weekly close. Furthermore it does not have to play out, even if the divergence will happen. What we would like to see is a nice strong bounce next week which would make a healthy higher high on the CCI indicator and as well a higher high on the RSI indicator. The RSI has room to grow upwards and move towards overbought and the CCI is currently just under the overbought levels, but can make a nice bump to the upside to overtake the potential bearish divergence that is in the making. When we are looking at weekly charts, these indications can take weeks before they play out.
What we can see as well with the CCI is that every time it hits overbought, you will see a clear downwards move after and when it reaches oversold it will show price moving upwards for the next couple of weeks. We just experienced two weeks of downtrend (testing support on the red line) and two weeks of uptrend now. This uptrend does not have to be finished at all after this week ! If BAT wants to make a stand and show the crypto world it is present, it will blast off higher next week.

Levels to watch for BAT are the 0,30$ mark, the 0,334$ level and the 0,38$/0,40$ level area. If it moves back down you want to see it hold 0,238$ (support red line), but a better move would be to hold already the 0,247$ level, which was a last low on the daily chart of Basic Attention Token.

We have interesting times ahead in crypto ! Bitcoin seems to be holding strong around the 11.5/12K level and Ethereum made another interesting move a little while back, going above 400$ ! Other cryptocurrencies are consolidating well like VeChain, Cardano and Stellar Lumens. We could well see another jump from these three in the upcoming weeks. Tron is finally moving upwards as well and I can go on and on with other cryptocurrencies. It seems to be going well and it is hard to imagine that we are just going to keep continue moving upwards, but I am not complaining at all ! In some way it would be nice to see one last good dip for buying, but on the other hand we have had a couple of years for buying in at low prices, so it might as well just move upwards from now on and lets go to the moon and further !

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Djordi
Djordi

I am Djordi van Kampen and I live in France. 2017 was the year I learned for the first time about cryptocurrencies and I am intrigued by what it can accomplish in this world, for the better of course !


DJCrypto
DJCrypto

Crypto enthusiast that would like to share his experience in the market in terms of investing and trading. Also travels a lot and likes photography and minerals.

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