- SWELL is likely to consolidate below $0.045 in the coming hours.
- Small market capitalization and high trading volume meant further gains.
The SWELL cryptocurrency has risen above the short-term resistance level of $0.4 and has once again entered the price discovery phase. As a recently launched token, the optimistic sentiment across the market is likely to benefit the altcoin’s gains.
The Swell cryptocurrency recently hit new highs.
Source: SWELL/USDT on TradingView
Since the token has been trading for a very short period of time, price action data is extremely limited. On November 7, SWELL remained below the $0.0393 level and was unable to close the trading session above it.
Trading volume also decreased towards the end of the day. This began to reverse on the 8th, with the $0.039 area being retested as support before the Swell cryptocurrency rose 25.2% in two hours.
At the time of reporting, the market price was around $0.0453. A decline below $0.039 would reverse the short-term structure to bearish. There is a possibility of a retracement to the next important Fibonacci levels: $0.0375 and $0.0346.
Swell integration possibilities
Source: Coinglass
In the early hours of November 8, the price of Swell hovered in the $0.035-$0.038 region. This has led to an accumulation of short-term liquidation levels around $0.0382-$0.0394, which has been swept in recent hours.
Realistic or not, SWELL’s market cap in BTC terms is:
To the south, there was a significant cluster of liquidity at $0.033. There is a possibility that the Swell cryptocurrency may fall into this zone before a bullish reversal. A more likely scenario is that SWELL consolidates the $0.043-$0.047 area and builds liquidity beyond these extremes.
A deviation below $0.04 and a strong bullish move would be the ideal outcome, but this is not guaranteed. Traders should prepare for this and other less ideal scenarios.
Disclaimer: The information presented does not constitute financial, investment, trading, or any other type of advice and is solely the opinion of the author.