The sudden decline in the price of EGLD has eliminated all of Autumn's liquidity. If the summer lows are broken, a free-fall slide toward prices last traded in 2020 may ensue. If the bulls take back the $45 zone, the downturn scenario may be proven false. The price of MultiversX (Elrond) is free-falling downward. The bulls have not yet displayed signs of retribution during the third trading week of November. The next possible direction for EGLD has been determined by identifying key thresholds.
Price of MultiversX (Elrond) is negative
The value of MultiversX (Elrond) (1) declined 35% in November, yet there have been better times. Bulls seem to be giving up on the highly scalable blockchain currency as few recovery signals are seen. If current market circumstances hold, a break of the summer lows near $38 may take place soon.
At the time of writing, the EGLD price is $41.02. During the most recent dip, the Relative Strength Index (2) hit highly oversold levels and is now repressed beneath positive support zones. The 8-day exponential moving average has also rejected the mid-$40 price levels. As a result of the rejection, traders using Autumn's liquidity zones as stop losses appear stuck at a loss.
What's next?
With these elements, the EGLD price may decline further, forcing a liquidation event. The initial bearish objective is the summer lows. The next level of support would be close to $32, a price last traded in 2020, if $38 does not form a double bottom. A breach above the current swing high at $45.50 renders the bearish argument worthless. A further advance toward $50 may start if the bulls successfully retagged this mark. A 20% price increase over the present MultiversX (Elrond) pricing would come from such a shift.
