Jump to content

Basic Attention Token (BAT/USDT) – Weekly Chart Analysis

Posted

Basic Attention Token (BAT/USDT) – Weekly Chart Analysis

Overview:

  • The chart represents Basic Attention Token (BAT) vs. Tether (USDT) on Binance (1W timeframe).

  • The current price is $0.1501, with a strong bounce from the identified support zone.

  • The token has experienced a significant price surge, breaking above key resistance levels.

Key Observations:

  1. Major Support Zone:

    • The highlighted support zone has historically acted as a strong demand area, preventing further downside.

    • This level has held multiple times since 2020, confirming it as a key accumulation zone.

    • Recently, the price bounced strongly from this level, signaling renewed buying interest.

  2. Breakout & Bullish Momentum:

    • Following the retest of the support zone, BAT has exploded upwards with strong bullish candles.

    • The sharp increase in volume indicates growing interest and accumulation.

    • This breakout suggests a potential trend reversal or at least a medium-term rally.

  3. Next Resistance Levels:

    • The price has already gained strong momentum, but some potential resistance zones to watch:

      • $0.35 - $0.40 → Previous consolidation area.

      • $0.50 - $0.60 → Psychological resistance and past key levels.

      • $1.00+ → If the bullish momentum continues, a return to the 2021 highs could be possible.

  4. Market Sentiment & Strategy:

    • The strong breakout and volume surge suggest continuation towards higher levels.

    • A healthy pullback or retest of previous breakout levels could present good re-entry opportunities.

    • Traders should monitor weekly closes to confirm sustained momentum.

Potential Trade Setups:

  • Bullish Scenario:

    • If momentum continues, BAT could test $0.35 - $0.40 in the short term.

    • A successful breakout above $0.50 could open doors for a rally toward $1.00 in the coming months.

  • Bearish Scenario:

    • If BAT faces rejection at higher resistance, a pullback to $0.20 - $0.25 may offer a better entry point.

    • Losing the support zone (~$0.12 - $0.15) would invalidate the bullish structure, leading to further downside risks.

Conclusion:

BAT has made a strong recovery from its long-term support zone, signaling bullish momentum. If the trend continues, the next key resistance zones ($0.35 - $0.50) could be tested soon. However, traders should watch for possible pullbacks for better entries.

image.png

Featured Replies