CEL Technical Analysis – August 2021
Celsius is in a downtrend after increasing to $6.66 in the early days of August. This downtrend is set to continue if CEL does not find support at key structures. A correction might occur in the coming days, but the trend suggests that CEL can keep decreasing in the following days.
Looking at the intraday chart, we can notice bearish tendencies for Celsius, as its volatility remains high. The price is set to keep decreasing, primarily because the selling pressure is very high.
Key Structures for Celsius
- $5.40, $5.20, $4.84.
- $6, $6.68, $7.07
The 20-day moving average is above the price of CEL, indicating that the price is bearish and that this moving average can act as resistance at around $6 in the short term. Even the 50-day moving average is above the price despite the previous uptrend. If CEL increases, then this moving average may act as support in the longer term.
Relative Strength Index
The RSI has been decreasing over the past few days and is now reaching closer to 30. Going below that might be a good tie to buy for traders since CEL would be considered oversold. Nevertheless, the current daily RSI suggests that this downtrend can continue for a few more days.
The signal line is above the MACD and the MACD is below its baseline. This clearly states that there is a high selling pressure and CEL can keep declining in the following days.
Drawing the Fibonacci retracement from the previous uptrend, we can look at potential support zones for the coming days of the following month. The 38.2% and the 50% level have already been penetrated, but the 61.8% might actually prove to be a good structure of support for CEL.
Potential Double Bottom
It is difficult to predict whether a double bottom can actually occur, but the 4-hour chart suggests that it may as well happen. If the following candlesticks do not close below the area of resistance, then a double bottom might occur and CEL might reverse, especially since the RSI is low and it has a lot of room for growth.
Head And Shoulders
This downtrend that Celsius is currently in might be the result of a head-and-shoulders pattern whose neckline support was broken, and the price started declining. Whether the trend might reverse is hard to say, but the current price movement is bearish.
In a 1-hour chart, we might have also witnessed descending Elliot waves forming. The five noticeable waves are usually then followed by corrective waves that indicate a trend reversal, but that has not been the case for Celsius, whose price looks to decline even more in the coming days.
Price Prediction Celsius – August 2021
Based on this technical analysis, CEL might have a correction in the coming hours or days, but its price is likely to keep declining, especially since the candlesticks pattern and the indicators suggest so. If CEL does not find support at $5.40, then its price might decline even further to at least $5.20, before correcting again.
Latest News for Celsius – Affecting Price
A month ago, Celsius invested $54 million out of $200 million in Core Scientific to create eco-friendly solutions for mining BTC. The following weeks after that saw CEL increase by at least 50%. However, its price started declining again. If Celsius can continue this kind of approach and invest in sustainable development, then it might have a price growth again in the future since it may receive more support from its community.
To learn more about Celsius as a project, check out this fundamental analysis of CEL:
Celsius (CEL) Price Prediction 2021 and Beyond – Is CEL a Good Investment?