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Bitcoin ordinal tokens ORDI and SATS both registered substantial drops in their prices over the last 24 hours as investors decided to dump their holdings in the cryptos. ORDI’s strong decline comes after it broke below a breakout chart pattern, while SATS fell below a consolidation channel over the past 48 hours.
ORDI
The ORDI price dropped more than 3% over the past 24 hours to trade at $54.46 at press time.
ORDI Fall Outs of Breakout Pattern
4-hour chart for ORDI/USDT (Source: TradingView)
The ORDI price broke below a medium-term symmetrical triangle that emerged on its charts. Following its exit from this breakout chart pattern, the altcoin printed a series of lower lows and lower highs on its 4-hour chart. It also dropped below the $59.350 support level. As a result, ORDI is currently testing the $54.215 support. A break below this significant mark could put the ORDI price at risk of dropping to the subsequent support level at $48.930 in the short term.
On the other hand, the ORDI price rebounding from the $54.215 support level in the next 48 hours could invalidate this bearish thesis. In this alternative scenario, the crypto may attempt a challenge at the $59.350 resistance level. A 4-hour candle close above this threshold could then clear a path for ORDI to rise to $64.390. A potential early indication of this bullish move may be when ORDI closes a 4-hour candle above the upper boundary of the current descending price channel.
Technical indicators on the altcoin’s 4-hour chart suggest that the ORDI price may drop in the next 24 hours. The Relative Strength Index (RSI) indicator shows that sellers have the upper hand against buyers. This is evident by the RSI line being positioned below its Simple Moving Average (SMA) line. In addition to this, the RSI line is breaking away below the SMA line, which could be a sign that sellers are growing stronger against buyers.
A Potential Bullish Trend Reversal on the Horizon
The Moving Average Convergence Divergence (MACD) indicator also shows that the ORDI price is still in a bearish cycle, as the MACD line is positioned below the MACD Signal line. However, the MACD line is closing in on the MACD Signal line, which could suggest that altcoin’s bearish trend may soon undergo a bullish reversal.
SATS
SATS saw its price drop more than 9% over the past 24 hours. As a result, the crypto was changing hands at $0.0000004103.
SATS Testing a Major Support
4-hour chart for SATS/USDT (Source: TradingView)
The SATS price dropped below the $0.0000004505 over the past 48 hours, which also resulted in it dropping below a consolidation channel. Currently, the crypto is retesting the $0.0000004025 support. If it breaks below this key mark, it may fall to as low as $0.0000003505 in the following couple of days.
This bearish thesis may be invalidated if SATS rebounds from the $0.0000004025 in the next 24 hours. In this alternative scenario, SATS may attempt to reclaim the $0.0000004505 support. A 4-hour candle above this level may give the altcoin the foundation needed to rise to $0.0000005420. In an extremely bullish scenario, the SATS price could climb to as high as $0.0000006535 in the short term.
Sellers Continue to Drag SATS Down
SATS is currently in oversold territory, as indicated by the Relative Strength Index (RSI) indicator which is below 30. Sellers show no signs of slowing down as the RSI is breaking away below its Simple Moving Average (SMA) line. In addition to this, the Moving Average Convergence Divergence (MACD) line is breaking away below the MACD Signal line. This is generally seen as a sign that a crypto’s negative trend is growing stronger.
The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Ecoinimist is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
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