The host of the AI AI16Z agent has become the best market executor over the past 24 hours, which survived 8%. Its trading volume during this period increased by 34%, totaling $ 452 million.
Nevertheless, technical indicators suggest that this bull impulse can be short -lived, since the rally in the AI16Z token seems to be fed with speculative trade.
AI16Z rally has no support
The assessment of the AI16Z/USD one-day diagram shows that Altcoin has broken below its 20-day exponential sliding medium (EMA) during the intraday trade session.
The 20-day EMA Activa measures its average price over the past 20 days, which gives the latest prices more weight to reflect current market trends. When the price falls below the 20-day EMA, it signals the weakening of the bull impulse and the potential transition to a bear tendency.
Traiders often consider this as a sign of reducing the percentage of purchases and interpret it as a sign for leaving long positions and occupying short ones. For AI16z, this fall below the 20-day EMA indicates that his recent rally loses steam, exposing him to the risk of dumping his profit.
It is noteworthy that the negative index of the elder Altcoin supports this bear prospects. At the time of writing this article, this is -0.34, which indicates strengthening bear pressure.
This pulse indicator measures the purchase (power of the bull) and the sale (bear) pressure on the market, comparing the high and low prices of the asset with its exponential sliding average.
When the index is negative, especially during the rally, this indicates that bear pressure suppresses the bull impulse. This suggests that the AI16Z price rally does not have strong support for customers and may be more specified than sustainable demand.
AI16Z price forecast: Demand can cause a rally to a high level
During the press, AI16z is traded at $ 1.56. According to its Fibonacci recovery tool, the Mountain Bear Pressure can lead to a fall in the price of a token below the 1 dollar range, which will potentially decrease to $ 0.68.
On the other hand, a surge of actual demand for AI16z can cancel this bear prospects. In this scenario, the price of AI16z token may rally to its record maximum $ 2.50, the last time reached on January 2.