Nano analysis: bulls eye up a new 2020 high

NANO/USD gained 15% in intraday trades before losses in afternoon trading capped gains at $11.5%, putting prices just shy of 2020 highs

Most altcoins are currently in the red after a market-wide decline, but Nano has surged over 6% in the Asian trading session.

Fig 1: Image of crypto markets. Coin360

Nano has surged more than 11% in the past 24 hours to see bulls eye up a new high days after the cryptocurrency hit its year-to-date high.

What’s encouraging for buyers is that technical indicators suggest the latest price surge has a foothold at a key support zone.

Nano’s price increased over 11.5% on Wednesday, moving from a low of $1.11 at the opening, to hit a high of $1.30. Although price touched a low of $1.09, its close at $1.24 meant buyers have another opportunity to hit levels above the YTD highs of $1.31 reached on June 10.

Fig 2: NANO/USD 1-month price chart showing June 10 highs. Source: Coin360

NANO/USD technical analysis

Nano is trading 7.38% up in the past 24 hours, with buyers eyeing further upsides going into the European trading session. The uptrend is significant given Bitcoin is struggling after a choppy trading session on Wednesday.

Sellers came to the market late in the day to cut gains with a slashing of $0.017. However, bulls staged a remarkable rally to keep prices above the 9-day exponential moving average at $1.14 on the daily charts. Looking at the RSI, which is pointing up but is not currently overextended, Nano is trading strongly with bullish momentum and could very well breach $1.31 to hit a new high in the year.

RSI (14, close) is reading 64, giving bulls room for a push higher before hitting overbought territory.

Fig 3: NANO/USD daily chart. Source: TradingView

Buyers are looking at resistance at $129 and after that a break above 2020-high that could open up $1.5. This price level is achievable given the sellers are unlikely to put up any considerable challenge above $1.31. If a breakout hits prices beyond $1.50, then a retest of $2 could be achievable within the next few weeks.

If RSI hit overextended territory, then the uptrend could slow as the price is well above the 9-EMA but is crossing below the Double EMA in the same timeframe. If sellers retake control, NANO/USD will rely on support at the 9-EMA at $1.14 with further declines likely to be stemmed at $1.01.

Nano is at the time of writing trading at $1.25, with a market capitalisation of $166 million, it ranks 48th on CoinMarketCap.

Other coins posting higher price movements in the past 24 hours are Cardano with 5%; Algorand 6% and Chainlink 3%.

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