Watch the volume - history repeating itself?
Reef is moving towards the end of a symmetrical triangle, a breakout should occur soon. Cautiously - positive.
A break to the downside could be very unpleasant. Based on the triangle, potential support and price target are at around 0.017 - 0.02.
However Reef was in a strong bullish uptrend and had just completed a Fib retracement setting a new ATH in the process - when the 'Alameda sell-off' hit on March 15th.
Since then Reef has formed the symmetrical triangle. As with Reef's previous recovery from the retracement through the parallel channel that commenced on February 11th, Reef has moved up to 0.5 Fib level, before moving back down to the 0.236. Compare the two dashed purple lines, there are strong similarities in price action and RSI which give reason to expect a bullish break to the upside. Be aware though that at the time Reef was more comfortably above the 20MA and volume has been lower through this 'recovery'.
As a side note, the downward symmetrical channel from the first retracement could probably be drawn as a symmetrical triangle, making this retracement even more like the first one.
Reef has plenty to be optimistic about long term, there is lots of integration and development on the roadmap, and when the Polkadot parachain auctions arrive Reef should feature strongly.
A break to the downside could be very unpleasant. Based on the triangle, potential support and price target are at around 0.017 - 0.02.
However Reef was in a strong bullish uptrend and had just completed a Fib retracement setting a new ATH in the process - when the 'Alameda sell-off' hit on March 15th.
Since then Reef has formed the symmetrical triangle. As with Reef's previous recovery from the retracement through the parallel channel that commenced on February 11th, Reef has moved up to 0.5 Fib level, before moving back down to the 0.236. Compare the two dashed purple lines, there are strong similarities in price action and RSI which give reason to expect a bullish break to the upside. Be aware though that at the time Reef was more comfortably above the 20MA and volume has been lower through this 'recovery'.
As a side note, the downward symmetrical channel from the first retracement could probably be drawn as a symmetrical triangle, making this retracement even more like the first one.
Reef has plenty to be optimistic about long term, there is lots of integration and development on the roadmap, and when the Polkadot parachain auctions arrive Reef should feature strongly.
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