• Algorand [ALGO] has been in a narrow consolidation following its rebound from a 25% dip due to the SEC lawsuit against Binance.
• It is riding on the prevailing bullish sentiment, with new partnerships and liquidity injections.
• ALGO could target range extremes ($0.13 & $0.14) if Bitcoin’s consolidation persists, but a breach below the range will invalidate the neutral bias and further weaken the H4 structure.
Analysis of Algorand
Algorand [ALGO] has been in an uptrend after bouncing back from a 25% drop due to the SEC lawsuit against Binance earlier this month. The token traded at $0.13 at press time, up about 25% after edging above $0.10 on 10 June as it rode on the prevailing bullish sentiment in the market.
New Partnerships and Liquidity Injections
The Algorand ecosystem bagged a new partnership from DFW Labs, with an initial purchase of $50 million ALGO tokens for liquidity injection into the market – boosting bulls’ chances of recovery from recent losses.
After climbing above $0.10 on 10 June, ALGO has been making new higher highs and lower lows – defining an uptrend that eventually faltered at $0.14, setting it up for a range formation within 61.8% ($0.13) – 78.6% ($0.14) Fib levels over four days of trading activity, taking cues from Bitcoin’s fluctuations below $31k during that period as well.
Rally or Plunge?
If Bitcoin’s consolidation persists, ALGO traders can target range extremes ($0.13 & 0$..14) for profits in the next few hours but should note that a breach below this range will invalidate its neutral bias and further weaken its H4 structure – flipping it to bearish instead with potential drops to 50% Fib level of $0..13 being possible outcomes for such scenarios later down the line if not checked timely by bulls leveraging current market momentum properly then..