by Jamie Holmes
DASH, one of the most popular altcoins, has surged to a fresh all-time high, following bitcoin higher on August 16 as the price reached $249.00 on Kraken and $234.50 on the Bitfinex exchange. With the price at unprecedented levels, we aim to find a new ceiling for the altcoin.
The weekly chart below for the Bitfinex exchange shows that DASH-USD could find a new ceiling around $315. The Fibonacci retracement tool is sued for the swing low point above $80.17, the low of May 2017 and the swing high point at $225.55, the peak of the previous bullish run in late June. This week, we have seen the market move above the fractal resistance at $225.55, bringing in a fresh all-time high.
Given the market has completed an upward move from $80.17 to $225.55 as well as a retracement from $225.55 to $120, we should see the long-term uptrend continue, with an initial target at the 161.8 percent extension level at $315.39. Moreover, a weekly close above $225.55 will give further bullish confirmation.
The weekly outlook for DASH-USD on the Kraken exchange is displayed below. As noted in our weekly cryptocurrency market outlook on August 7, we looked for a buy position if the weekly close was higher than $195.97. On August 14, the weekly candlestick closed higher than this level, at $198.99, confirming the bullish signal outlined in the August 7 report and as we stated, DASH surged to new highs.
A weekly close above $219 will give further bullish confirmation for the altcoin over the long term. Using the Fibonacci analysis for the price action on the Kraken exchange, we see that resistances are given at $283.27 and $387.27.
Looking at the daily timeframe for the Kraken exchange, we see that a Bullish Saucer pattern is setting up for DASH (the same pattern is also displayed for Bitfinex). The chart below illustrates the bullish signal from the Awesome Oscillator. Given that August 16’s high remains at $249.00, the Bullish Saucer will be confirmed on August 17 and we look to place a limit buy order at $249.01. Once the market triggers this order and moves above $249.00, we should see bullish momentum intensify, as bulls look to target the Fibonacci extension level at $283.27.
In summary, we look for the Bullish Saucer to be triggered on August 17, with a move above August 16’s high required for confirmation; once the Bullish Saucer signal is triggered, it is likely to spark a fresh bullish run for DASH-USD, with targets near $300 and $380 valid over the long run.