DATA
Streamr (DATA) took a hit, dropping more than 8% intraday, but there’s a lot happening on the chart that suggests a potential turnaround is in play.
Chart Breakdown:
First, let’s focus on the bottoming formation. While it’s not a textbook cup and handle, it does display some similarities, with a rounded bottom followed by consolidation. This gradual bottom-building structure indicates that selling pressure may have eased and buyers are starting to step in.
Next, Streamr is testing its 200-day EMA (around $0.044). This is a significant level, and a close above it could be the trigger we’ve been waiting for. However, to truly confirm the breakout, we want to see the price close above the $0.047 level. That would be the ideal entry point, as it clears both the EMA and local resistance, signaling that Streamr is ready to push higher.
One more bullish sign is the recent increase in volume. As the price has approached the 200 EMA, we’re seeing volume pick up, which adds credibility to the idea that a breakout could be imminent. This surge in volume is often a leading indicator of stronger price action ahead.
Trade Setup:
• Entry: The best entry comes with a daily close above $0.047. This would confirm the breakout from both the EMA and key resistance.
• Targets:
• Target 1: $0.065 (33% potential gain)
• Target 2: $0.08 (67% potential gain)
• Stop Loss: Set a stop below $0.035, beneath the recent swing low, to manage downside risk.
Final Thought:
Streamr’s recent drop might have shaken some traders, but the overall structure is showing signs of a potential breakout. The bottoming formation, combined with rising volume, is fueling optimism that we could be seeing the start of a new uptrend. Keep a close eye on the $0.047 level for a confirmed breakout, and let volume guide the next move.
