Darkcoin price dropped yesterday to test the 50% Fibonacci retracement fan level at 0.010844, as we predicted during Friday’s analysis, yet this level continued to prove that it is supporting Darkcoin price well. Yesterday, DRK price recorded a low of 0.01075 BTC and a high of 0.01165 BTC.
By studying the 1 hour Cryptsy (DRK/BTC) chart from , plotting the 10 hour EMA (green curve) and the 20 hour EMA (orange curve) and calculating the MACD indicator (look at the below chart), we can conclude the following:
- Darkcoin price dropped yesterday to test the 0.010844 support level. Although price overshot below the support level to score a low of 0.01075 BTC, the downtrend reversed right away pushing the price up away from this seemingly strong support level.
- DRK price was trading below the 10 hour and 20 hour EMA earlier yesterday, but it rose above both during the later trading sessions.
- Based on yesterday’s chart, we can safely trade the “doji”; the green doji (look at the bullish doji inside the blue cloud on the below chart) proceeded reversal of the downtrend and the two bearish dojis (look at the 2 red dojis inside the blue cloud on the below chart) also proceeded the bullish wave that pushed the price above 0.011 BTC earlier today.
DRK price seems to follow a repetitive pattern that prefers to travel midway between the 50% and 62% Fibonacci retracement fan levels.
Conclusion:
Darkcoin price continues to move sideways to the 50% Fibonacci retracement fan level; however, as the 0.010844 BTC is continuing to support the price, we can see DRK price reach 0.0116 BTC later today.
