- TAPSWAP is poised to break above the upper line of the descending triangle.
- If that proves successful and buying pressure picks up, the rally could continue.
Tap Swap [TAPSWAP] The uptrend is attempting to break out of the descending triangle, suggesting a reduction in selling pressure.
If an asset rises above the upper line of the descending triangle and forms resistance, it is a bullish signal. This indicates that buying pressure is exceeding the selling activity that was forming the triangle.
AMBCrypto’s assessment of some of the token’s key technical indicators confirms that it has the potential to break above the upper line of this descending triangle.
The token’s Relative Strength Index (RSI) and Money Flow Index (MFI) values indicate that TAPSWAP’s current rally is fueled by real demand from market participants.
At the time of writing, the token’s RSI and MFI were at 60.90 and 62.53, respectively. These values suggest that TAPSWAP traders are favoring accumulation over profit taking.
Moreover, TAPSWAP’s Directional Movement Index (DMI) readings also support the above position: at the time of writing, positive Directional Movement Index (green) is outnumbering negative Directional Movement Index (red).
When these lines are set up like this, it suggests that the recent price action has been primarily upwards, which is an indication that the bulls may be in control and prices may move higher.
Source: TapSwap/USD on GeckoTerminal
TAPSWAP Price Prediction Shows Bear Market Continues
Although TAPSWAP’s recent rise has been fueled by decent demand, bearish sentiment is prevalent in the market. A look at Chaikin Money Flow (CMF) shows that it remains negative. At the time of writing, the value of this indicator was -0.37.
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An asset’s CMF measures the inflow and outflow of funds into that market, and when it returns a value below zero it indicates market weakness as token traders withdraw liquidity.
The dots on TAPSWAP’s Parabolic SAR indicator are above the price at the time of writing, confirming the presence of a bear market. Traders use this indicator to identify potential trend direction and reversals in asset prices.
Source: TapSwap/USD on GeckoTerminal
If the dot is above the asset price, the bears are considered to be in control.
