- NEM bulls struggle to hold on the gains accrued following the correction from $0.036 to highs above $0.044.
- A retreat is underway on hitting overbought conditions but the MACD shows that the buyers have the power to sustain the price above $0.040.
NEM is among the biggest double-digit gainers in the cryptocurrency market. The crypto broke out in an engulfing candlestick that exerted extreme bullish pressure on key barriers including the descending trendline resistance. The priced ravaged through the barrier at $0.042 and brushed shoulders with the next hurdle at $0.044.
Further gains above $0.044 were untenable leaving a gap open for exploration by the battered bears. For now, the price is retreating as a result of overbought conditions. Besides, the Relative Strength Index (RSI) at 64.38 is pointing south.
Looking at the Moving Average Convergence Divergence (MACD), it is clear that bullish action is suppressed but still exists. The MACD’s positive divergence signifies the ability of the buyers to sustain the price above $0.040 support and focus on higher levels towards $0.050