Coinbase Global Inc. (NASDAQ:COIN) shares are trading higher Wednesday in sympathy with Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) as cryptocurrency markets push higher. Coinbase’s stock looks to have fallen below a key support line.
Coinbase is trading up 3.82% at $249.27 at publication time.
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Coinbase Daily Chart Analysis
- The stock fell below the higher low trendline and saw a strong push lower. The stock now looks to be making a bounce.
- The $300 price level is an area where the stock has struggled to cross above in the past and may continue to in the future. The higher low trendline has held as support in the past, but now below the trendline, it may possibly hold as resistance.
- The stock crossed above the 50-day moving average (green) Wednesday, indicating the sentiment in the stock is likely turning more bullish.
- The 50-day moving average may hold as a possible area of support in the future.
- The Relative Strength Index (RSI) has been pushing higher the past few days and now sits at 56. This shows more buyers have entered into the stock, and now the stock is seeing more buying pressure than selling pressure.
What’s Next For Coinbase?
Bullish traders are looking to see the stock continue to push higher and work its way up to resistance near the $300 level. Bulls are then hoping for a cross above this resistance level and a period of consolidation. This could cause a further bullish push in the future.
Bears are looking to see the stock fall back down and stay below both the higher low trendline and the $300 level. Bears would also like to see the stock fall below the 50-day moving average for sentiment to turn more bearish again.
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