A powerful growth wave in the WAVES market in May 2021 provoked the beginning of a correction and not the best times for the project. Having raised the price by 230% in 2 weeks, buyers tested the mark of $41.86. However, in the same short period of time, the WAVESUSDT price fell to a liquidity range of $11.6-12.5.
Why is the range of $11.6-12.5 very important for the WAVES market?
Since February 2021, the range of $11.6-12.5 has played a key role in the WAVES market. It was after the price fixed above this range in April that buyers were able to build a bright and final growth impulse. Now, it is this range that restrains the aggression of sellers for 2 months. Therefore, the chances for the formation of a new growth wave in the near future remain.
If we consider the situation on a smaller timeframe, we see a clear consolidation range, which is built on the lows and highs of the daily candle from 23 May:
We have already mentioned the lower limit of this consolidation above. Upper liquidity zone – $17.8-18.8. Buyers have not managed to go beyond this range 3 times already.
A difficult situation will come for the WAVES market in the range of $23.2-24.5
Now the chart shows that a new local attack of buyers is on the verge of collapse. Having touched the range of $17.8-18.6 on 30 June, buyers intensified sales in the WAVES market. This is also noticeable in terms of trading volumes. Although the local trendline is still under the control of buyers, the main interest in the WAVES coin is in the range of $11.6-12.5. Therefore, it is this range that we recommend for buying.
Taking into account the fact that the WAVESUSD price stopped above the range of $11.6-12.5, we regard this consolidation as an accumulation of positions for a new growth wave. In this case, the first target of the new growth wave is at $23.2-24.5. In this range, it will become clear whether the WAVES market will expect another fall wave or all the worst is over.
The WAVESBTC chart also adds a bit of positivity
The growth trend that we see on the chart since 2019 has recently started to accelerate. The fall in May 2021 looks like a correction so far. The price is consolidating above the range of 0.0003374-0.0003785. Therefore, while there is a chance of continuation of this trend, as long as the price is above this range.
Though, for a positive scenario, a positive dynamics of the BTC price movement is required. What we think about Bitcoin market, see our video: