- IOTA reversed 15% of gains from Wednesday’s high.
- A technical correction is on the way.
IOTA is changing hands at $0.6970 at the time of writing, having lost 41% of its value from the recent high $0.8152 reached on Wednesday. The coin reversed most of the previous gains, trading 9% lower on a daily basis and -4% since the start of Thursday. IOTA’s market capitalization is registered at $1.9B, and the average daily trading volume is $81M.
The strong reversal of IOT/USD has nothing to do with fundamentals. The coin is following the overall crypto market trend, correcting from overbought territory. As long as the price stays above $0.5800-$0.5780, the move may be regarded as a technical correction and speculative positioning.
Considering that the market has already priced in all good news about IOTA’s partnership with large tech and mobile giants, we may suggest that the coin will now catch the wave of the global cryptocurrency market.
The first resistance level is created at $0.7780 by DMA5; once it is broken, the price might continue growing towards Wednesday’s hight at $0.8151 and to the ultimate $1.00 protected by DMA100. On the downside, the support comes at $0.6729 (SMA200, 4-hour chart), followed by $0.6567 (SMA100, 1-hour chart).
IOT/USD, the daily chart
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