Klaytn Price Prediction August 2021: KLAY Recent Correction Could Mean A Reversal

KLAY Technical Analysis – August 2021

Daily Analysis

After a recent double top pattern, KLAY started declining and it has recently found support at $1.55. While this downtrend could continue, KLAY might also have a reversal if it breaks the first resistance level.

Intraday Thoughts

Looking at the intraday chart, KLAY has been volatile and on the rise to test resistance. The coming hours are crucial to determine whether KLAY can aim for previous highs.

Key Structures for Klaytn

Support

  • $1.56, $1.41, $1.28

Resistance

  • $1.67, $1.75, $1.97

Indicators

Moving Average

The 20-day moving average is now aligned with the recent candlesticks. While it has been acting as support so far, this might mean that the MA is now moving above and can act as resistance in the days to come.

The 50-day moving average indicates that KLAY can continue this bullish run in a longer-term.

Relative Strength Index

The Relative Strength Index (RSI) has been well within the 30-70 range. Recent price correction has indicated that the RSI is moving upwards again. This might mean a short-term increase for KLAY, but it then may decrease once it becomes overbought.

MACD

The signal line has recently moved above the MACD line, while they are still above the baseline. This is understandable considering the fact that KLAY is now in a downtrend. If KLAY does not surpass resistance, then MACD might go below the baseline and the downtrend might continue.

Fibonacci 

Looking at the Fibonacci retracement from the beginning of the downtrend, we can see KLAY find support at 50%, where the previous high used to be. 

If we look at Fibonacci retracement from the beginning of the bullish run, then we might see possible support at 50% or at 61.8%.

Double Bottom

The recent correction of KLAY means that none of the candlesticks closed below the resistance area of the previous support. A double bottom pattern has emerged, and it could mean that KLAY might reverse if it breaks resistance.

Elliot Waves

Descending Elliot waves could also indicate that corrective waves A, B, and C can take place, and KLAY might begin an uptrend in the last days of August.

Price Prediction Klaytn – August 2021

Judging from this technical analysis on Klaytn, if the first resistance level is broken, then KLAY might be aiming high and go close to $1.97. Pullbacks might occur, but KLAY may eventually get there in the days to come. If KLAY fails to exceed resistance and a red closed candlestick appears, then it might be a good time to sell KLAY since it may go further down. 

Latest News for Klaytn – Affecting Price

Klaytn has recently partnered with Beyond Finance, a decentralized synthetic asset trading protocol. This partnership aims to further grow the DeFi sector within Klaytn, and it can easily increase the demand for KLAY, consequently increasing its price. Other fundamentals can have positive effects on KLAY.

If you want to check out fundamental analysis on Klaytn, then check out this article:

Klaytn Price Prediction 2021 and Beyond – Is KLAY a Good Investment?