ALGO carries another test target of $ 1.2 as the bulls lack patience

Algorand (ALGO) price bounced off weekly lows of $ 1.32 last Saturday (December 4th) despite the lack of tenacity to chase the uptrend.

ALGO has been on a downtrend so far this week after hitting a weekly high near $ 2 in December. Since then, this altcoin has lost about 15%.

Buyers are now trying to find a way to strengthen their positions as the ALGO price is up 2.64% on the day and is currently trading at $ 1.49.

ALGO still tilts down until it can break over $ 2.

ALGO cows prepare for their final dance. While the 14-day Relative Strength Index (RSI) is still below the center line, the upward momentum may be short-lived.

Meanwhile, the 50-day moving average (DMA) is on the verge of breaking above the 100 DMA.

If a bearish crossover occurs, which sends a negative signal to ALGO traders, a slide towards the 200-DMA at $ 1.36 is more likely. If it loses that level, bears will attempt to remove the December 4th low of $ 1.21.

Further south, the psychological $ 1 comes into play.

Daily chart ALGO / USD

Alternatively, the path to rebound could encounter an immediate hurdle at Friday high of $ 1.63, above which the 21-DMA would be at $ 1.73.

Once it can get near the $ 1.82 supply zone where the 50 and 100 DMAs converge, ALGO should be able to build momentum to break above $ 2.

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