After a prolonged downtrend that saw IOTA’s price tumble 60% from $0.50 in early December 2024 to $0.20 by February’s end, the token has shown signs of recovery. In the last 24 hours, IOTA has surged by 10%, suggesting that selling pressure may be easing. However, the question remains—can IOTA sustain this momentum and establish a lasting uptrend?
IOTA Looks to Sustain Uptrend
Technical analysis of IOTA’s daily chart indicates a gradual descent throughout February, forming a falling wedge pattern—typically a bullish reversal indicator. On March 2, IOTA managed to break out of this formation, climbing from $0.22 to $0.26 before a bearish engulfing candle retraced some gains. Despite this pullback, the token appears poised for another breakout attempt.
Historically, falling wedge breakouts often lead to sustained rallies if supported by favorable market conditions. Two key indicators—Chaikin Money Flow (CMF) and the Awesome Oscillator (AO)—suggest that IOTA could be primed for further gains.
Bullish Indicators Strengthen IOTA’s Case
The CMF, which measures buying and selling pressure, has crossed the zero line, signaling increased accumulation by market participants. This shift indicates renewed confidence in IOTA, which could translate into continued price appreciation.
Similarly, the Awesome Oscillator (AO) has turned positive, with green histogram bars emerging. This momentum shift from bearish to bullish reinforces the likelihood of further price gains, provided that buying pressure persists.
IOTA Price Analysis: Can $0.30 Be Reached?
IOTA’s price is currently testing the 20-period Exponential Moving Average (EMA), a key trend indicator. If the token decisively breaks above this level, it could pave the way for a climb toward $0.30. Additionally, the Balance of Power (BoP) indicator has surged, suggesting that bulls are regaining control.
Should this momentum hold, IOTA could target resistance at $0.37, with a highly bullish scenario pushing the price toward $0.43. However, failure to maintain its position above the 20 EMA could lead to another downturn, potentially driving IOTA below $0.15.
Also Read: IOTA Rebased Testnet Welcomes New Validators, Strengthening Network Security Ahead of Mainnet Launch
With technical indicators flashing bullish signals, the next few days will be crucial in determining whether IOTA can solidify its recovery and reclaim higher price levels.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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