RENDER has delivered a notable rebound after a prolonged downtrend, with recent price action highlighting a potential turning point. TraderJB noted a 100% move off the lows, as price bounced from the gray demand zone near $1.22 and began breaking the local downtrend.
Currently, RENDER is attempting to move upwards from $1.2239 but requires one more wave higher without breaching $1.37. If so, then the next resistance levels lie between $3.24 and $4.16, and these levels have quite a bit of liquidity.
Analysis of the chart on TradingView reveals that the price of RENDER has shifted from a period of strong growth to a strong correction. The price was strongly rejected after reaching a peak of about $10-$11.
However, due to the strong rejection from the stacked 20-50-100-200-week EMAs, these moving averages are currently above the current market price, showing a bearish-to-distribution market. The heavy drop to the current low was accompanied by a long wick on the negative side of the price action.
In terms of trend analysis, the pullback of RENDER is nearly at its all-time high of 96%, indicating that the pullback has nearly completely reversed the big rise. The measures for a run-up remain at zero, indicating no strong short-term bullish trend yet, although pullback bars indicate that the bearish trend may be exhausting.
The return to $2.00-$2.20 via $1.20-$1.40 is significant and equivalent to a former area of demand. However, without a tight hold above the 20- and 50-week EMAs, a rise should not be thought of as a trend change.
The indications for volatilities are that the market could very well be headed for a stabilized environment. The historical volatilities have moderated considerably, which signifies that the panic selling that takes place is subsequently headed for a correction rally as a result of the historical volatilities.
The historical volatilities on a relief rally can very well increase the possibility of a relief rally, but a macroeconomic turning point is still not clear. The risk for any fall is considerably less, so shorting is not a very attractive strategy.
Also Read: Render (RENDER) Set to Soar: Could Hit $7 Soon!
