Algorand Eyes $0.40 After Breaking Downtrend, Must Hold $0.25 Support
Algorand (ALGO) has broken above its descending trend line and is trading around $0.265. A key support zone lies at $0.25–$0.27, with stronger demand at $0.22–$0.24. Bulls need to sustain above $0.25 to prevent a pullback to $0.22. Resistance clusters at $0.30–$0.32; a daily close above this range could drive ALGO toward $0.35–$0.40 and potentially $0.44. The RSI sits at 52.82, indicating neutral-to-mild bullish momentum, while the MACD is slightly negative but ready for a bullish crossover if volume increases. Traders should watch for a volume-backed MACD flip and a confirmed break above $0.32. Failure to maintain $0.25 support risks re-testing the $0.22 demand base.
Bullish
The outlook is bullish because ALGO has convincingly reclaimed its downtrend line and holds above the critical $0.25 support. The RSI near 53 suggests mild bullish momentum, and the MACD lines are poised for a bullish crossover if buying volume picks up. Historically, similar setups—such as the May rebound from the $0.20 zone—led to 20–30% rallies once key resistances were broken with volume confirmation. If ALGO closes above $0.30–$0.32 on strong volume, it could accelerate toward $0.35–$0.40. Conversely, failure to sustain $0.25 support would shift the bias bearish, risking a retest of $0.22. Overall, technical signals and past precedents point to a likely continuation of the uptrend.