Balancer (BAL) Price Could Increase By 36% In The Near Future, Here’s Why?
The price of Balancer (BAL) has completed a bullish pattern and flipped the previous horizontal resistance zone into support. It is expected to continue rising in the near future.
Bullish Pattern
The Balancer (BAL) price has continued its long-term downtrend since reaching a yearly high of $8 in late February 2023. During this period, the price broke below the long-term horizontal support zone at $5 and touched an all-time low at $2.9 on October 19th.
The price has since recovered and broken above the neckline of a double bottom pattern at $3.5 with a large bullish candle. This confirms the validity of the breakout.
The double bottom pattern is a bullish reversal pattern, typically appearing at the end of a downtrend. Completing it confirms the start of a new uptrend.
The 3-day RSI (Relative Strength Index) has generated a significant bullish divergence and surged above the 50 level. Both are bullish signals, supporting the continuation of the uptrend.
If the price continues to rise, it may retest the previous long-term support zone at $5, marking a 36% increase from the current price.
Short-term Outlook
The 4-hour chart supports the prospect of further uptrend from the 3-day timeframe. It shows that the BAL price has successfully flipped the previous horizontal resistance at $3.5 into support (green arrows).
This indicates a shift in sentiment from selling on rallies to buying on dips. The formation of consecutive pinbar candles over the past 24 hours also supports this possibility.
Therefore, the BAL price could rise to the next horizontal resistance zone at $4.3 in the coming days.
Conclusion
The most likely scenario suggests that BAL’s price will continue to rise in the near future. The nearest target is $4.3 and above it up to $5.
Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.
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