WAX Analysis – price reverses after a short decline

WAX is a cryptocurrency that ranks in the top 100 cryptos by market capitalization. Yet, it is relatively unknown compared to some of the other altcoins. About two weeks ago, the price of the coin was experiencing a bearish pull-back after it had broken a major neckline. Nevertheless, we remained optimistic as we considered the decline to be temporary.

The optimistic prediction turned out to be right as the price started moving up soon after the decline. The decline itself spanned only a couple of days, but the price followed an inverse head and shoulders pattern and reversed soon after. The upswing, on the other hand, was significant as the price now stands at a three month high. During the upward movement, the price also broke a mid-term downtrend line which is shown in black on the graph above. Now, we are taking the level of $0.1 to be a psychological barrier and test it as a resistance. Considering the current momentum of the asset, it is not unlikely that the buyers will be able to breach the resistance soon. We are taking a positive stance on WAX’s price and expect increases in the nearest future.