SNX Technical Analysis: Expect Price to Fall Below the Second and Third Support Levels of $11.74 and $11.52
Synthetix is a blockchain-based derivative liquidity protocol that provides users with on-chain exposure to a large number of assets. It also provides a robust platform for the creation of decentralized apps, financial tools, and synthetic assets. Users can earn SNX tokens as rewards for providing collaterals. SNX is the native token of this ecosystem and its technical analysis is as follows:
On May 22, 2021, SNX started trading at $16.42. On May 28, 2021, SNX closed at $11.95. Thus, in the past week, the price has decreased by roughly 27%. In the last 24 hours, SNX has traded between $11.88-$12.45.
Day-Ahead and Tomorrow
Currently, SNX is trading at $12.35. The price has increased from the day’s opening price of $11.95. Thus, the market seems bullish.
The MACD and signal lines have turned negative. Moreover, a bearish crossover by the MACD line over the signal line has occurred. Thus, the overall market momentum is bearish. Hence, the SNX price may start falling soon.
Currently, the RSI indicator is at 35%. It faced rejection at 41% and fell to this level. Thus, selling pressures are much higher than buying pressures. Hence, like the MACD indicator, the RSI oscillator is also pointing towards a price decline.
Besides, the OBV indicator is also falling. This implies that selling volumes are higher than buying volumes. High selling activity will push the price downwards. Thus, all three indicators have given bearish signals.
SNX Technical Analysis
Currently, the price is below the first Fibonacci pivot resistance level of $12.31. It may soon fall below the Fibonacci pivot point of $12.09 as well. If the bearish forces remain strong till day end, then we can expect the price to fall below the second and third support levels of $11.74 and $11.52, respectively.
The SNX price has tested and fallen below the 23.6% FIB retracement level of $12.31. It may soon fall below the 38.2% FIB retracement level of $12.23. Thus, as of now, the price downtrend is strong and likely to continue today and tomorrow.