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Technical Analysis

Kaspa technical analysis: $0.09 support and bullish trend

Published: Oct 28, 2024
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KASPA continues to impress, maintaining a bullish pattern within the $0.09 range. This technical analysis highlights its recent moves, support zones, and upcoming breakout targets for traders looking to capitalize on its resilience.

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Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.


Market context

Kaspa (KASPA) recently made a notable move, wicking directly into the designated build box between $0.09 and $0.109, a level we outlined in the last analysis. This asset has shown a clear, higher timeframe bullish structure, demonstrating resilience compared to many other assets in this market cycle.

1. Kaspa weekly price chart showing descending peaks, support trendline, potential support zone marked in blue, and RSI indicators above.

Playbook

Trend: KASPA has followed a strong trend of higher highs and higher lows since November 2023, maintaining a consistent bullish structure. This pattern includes key levels:
  • Higher high printed on November 13, 2023.
  • Higher low on January 29, 2024.
  • Followed by higher highs and lows in February, April, and July.
  • The latest higher low was confirmed in October 2024, reinforcing the trend.

Price action

KASPA wicked into the build box, moving below the trendline level but reclaiming it with strength. This reaction indicates potential for continued upside and reinforces its structural strength.

Key levels

Build Box: $0.09 - $0.109.
  • This range is identified as a strong support and a potential launch point for further bullish movement.
  • Past moves from this range have led to decent gains.
Upside Potential: Given KASPA's resilience and structure, a break above recent highs could signify another major move, positioning it as a contender in the market. Risk management
  • Given KASPA's stability, spot accumulation in the build box between $0.09 and $0.109 could be a low-risk entry.
  • Leverage isn't recommended here due to the opportunity cost of building spot positions based on the overall market context and its potential to move around current sentiment.

Cryptonary's take

KASPA isn't currently in our CPRO picks, nor are we invested. However, its strength in maintaining a higher timeframe bullish structure is noteworthy, especially as it continues to respect each higher high and higher low. Holding within this structure gives it a solid foundation to break out if momentum returns to the cycle. This is one to watch closely for trend continuation as a strong player for the remainder of the cycle.

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