HOT could recoup recent losses if altcoins see a significant reversal, technical analyst Michael Van de Poppe suggests.
Holo’s (HOT) price is up 7.91% in the past 24 hours to trade at $0.0087 as of writing. The market capitalisation for the asset stands at $1.57 billion.
Despite trading in the red over the 14-day and 30-day periods as shown on price aggregator CoinGecko, the token’s year-on-year gains stand at 1,570%. This is after a massive run-up seen since last December, with prices surging from lows of $0.0006 on 31 December 2020 to a new all-time high of $o.o3157 5 April 2021.
As this week’s crypto bloodbath tanked Bitcoin to lows of $30k, HOT/USD plummeted too to hit lows of $0.0074. But crypto analyst and trader Michael Van de Poppe has suggested that the token’s price is primed for a fresh upside as profit-taking deals decrease.
According to him, HOT/USD has seen a full retrace from its peak to lows seen in March. A decent support zone near the $0.0057 and $0.007 zone could allow bulls to target new resistance levels. In his opinion, the bullish scenario will play out if the altcoin market witnesses an upward correction in the coming days and weeks.
Well, this is going the way it should for $HOT.
Full retrace after a massive surge.
I’m assuming we’ll reverse quite soon on the #altcoins and then this scenario plays out.
Might be interesting to take some entries. pic.twitter.com/rqlzCrBnpM
— Michaël van de Poppe (@CryptoMichNL) May 21, 2021
Let’s see how Holo’s technicals looks today.
HOT/USD price outlook
Like most other altcoins, Holo (HOT) prices largely mirror the sentiment within the Bitcoin market. As such, Bitcoin’s consolidation in the $30-$40k region could see altcoins seek a fresh leg up.
The daily chart shows the RSI is tipping off the oversold line and the MACD is decreasing within the bearish zone. If HOT/USD breaks resistance at the 20-day EMA ($0.0117), it would be above the zone Van de Poppe marked as key to fresh gains.
The next hurdles above this line would be at $0.018 and $0.020, which suggests a 70% surge from the critical $0.011 line.
Conversely, failure to clear above the bearish trend line would invite new selling pressure and leave HOT/USD vulnerable to a retest of recent lows near $0.0051.