Cryptocurrencies are continuing their unpleasant trend as the price of Bitcoin (BTC) stays away from $30,000 due to the FUD news that emerged last night. However, there are exceptions, even though the majority of the market remains inactive. In fact, we witnessed an altcoin that reached its all-time high today. Of course, we are talking about KASPA (KAS), but why did its price increase?
Why is KASPA (KAS) Surging?
The price of Kaspa (KAS) has been steadily increasing since July 6th and reached its all-time high of $0.049 today. Even investors were surprised by the price reaching an ATH when risk appetite has decreased so much. Indicators are currently sending overbought signals, which usually suggests at least a short-term decline after an ATH.
The star altcoin of the day started a steady rise after dropping to $0.011 on May 23rd. Although the price made several lower lows, an impressive surge began on July 6th. Since then, the price has increased by 144%. The rally stopped at the ATH level of $0.049 today, forming a bearish candlestick.
The justification for the entire rally was the observation of a parabolic rising support line. Speculators seem to have succeeded.
Will KAS Coin Continue to Rise?
Technically, the price can continue to rise as long as the mentioned rising trendline is maintained. Moreover, the four-hour RSI also supports further increases. Since the price is very close to its all-time high, external Fib levels can be examined to determine where the price may reach its peak.
These levels are commonly used to determine the highest point of future potential upward movements. When the last part of the decline is measured, the next nearest resistance levels are found in the $0.050 and $0.061 regions. Therefore, if the rally continues, there are likely two major targets ahead.
Despite the bullish prediction, a break from the parabolic rising support line would indicate that the upward movement has completed and the trend is now bearish. In that case, a pullback to $0.030 with a 30% decline would not be surprising.
