EGLD Short-Term Bearish: Testing $5.21 Support, Bounce at $5.42 Only on BTC Stabilization
EGLD (MultiversX) is trading near $5.30 after an ~8% intraday decline with 24h volume around $8.3M. Technicals show a short-term downtrend: price below EMA20 (~$5.60), Supertrend bearish, MACD histogram negative and RSI in oversold territory. Key intraday levels: immediate support $5.21 (critical; break risks a rapid move to $5.00 and $4.57), first resistance $5.42 (cluster with EMA20 and Supertrend at $5.60–$5.67 above). Multitimeframe analysis highlights resistance clustering, limiting upside. Scenarios: 1) Low-probability bounce (30%) if price holds $5.21 and closes above $5.29 on rising volume, targeting $5.42–$6.07; 2) Higher-probability downside (70%) if $5.21 breaks, targeting $5.00 then $4.57. EGLD shows strong correlation with BTC (~0.85); BTC direction (key levels $83,383 / $79,428 / $77,363) will likely determine EGLD’s follow-through. Recommended for traders: scalp between $5.21–$5.42 with tight stops, limit risk to ~1–2% capital. Monitor: $5.21 breakdown, $5.42 close, RSI recovery above 30, volume spikes, and BTC reaction at $83,383. This is not investment advice.
Bearish
The technical setup and market context point to a bearish short-term outlook. Price sits below EMA20, Supertrend signals are bearish, MACD histogram is negative and RSI is oversold — a combination that favors continuation of the downtrend unless clear bullish confirmation appears. The immediate $5.21 support is the pivotal level: a break would remove near-term bids and likely trigger stops and accelerated selling toward $5.00 and $4.57. Resistance is clustered around $5.42–$5.67, making meaningful recovery difficult without a volume-backed close above $5.42. High BTC correlation (~0.85) increases downside risk because a failing BTC would likely magnify EGLD losses, as seen in prior altcoin sell-offs following BTC drops. For intraday traders, the trade plan favors short scalps on breakdowns or very tight long bounces from $5.21 with strict stop-losses. Longer-term outlook depends on BTC macro trend and whether EGLD can reclaim EMA20 and flip $5.42–$5.67 into support. Overall, probability-weighted scenarios assign higher odds to further weakness in the next 24–72 hours.