- The NEXO price recovery is expected to see a potential rise of 22% before the challenge, which is the main resistance of the wedge pattern.
- Bubble map visualization highlights low density in trading clusters
- The currency price trading below the 200-day EMA indicates that the broader trend is bearish.
NEXO, the native cryptocurrency of the Nexo platform, registered a 0.44% increase on April 22 to currently trade at $0.9. The initial buying pressure came as the broader market rebounded as geopolitical tension eased when President Donald Trump announced an extended ceasefire between the United States and Iran. However, a deeper analysis of NEXO price volume shows that the prevailing market correction is gradually losing momentum, which could trigger a potential rebound.
Nexo indicates a cooling phase as selling pressure fades
A recent analysis of Spot trading activity Nexo reveals a changing landscape that may interest market watchers. With a bubble map to monitor changes in volume, evidence points to a shift to a so-called cooling phase.
This is an indication that the aggressive selling pressure that has characterized recent downward price trends is beginning to ease, meaning there is potential for fatigue among sellers.
This particular volume profile has been seen twice in the past few years, and has historically served as an indicator of major price changes. A similar cooling signal was observed in May 2023, followed by a significant upward rally to the 1.50 level.
The second case was in late 2023, which was followed by a 65 percent price increase. As of now, Nexo is displaying the same traits as it is trading in a corrective trend.
Although the trend is similar to previous arrangements that led to rises, recent times are characterized by a broader market environment and a different situation than the past. Analysts point out that the decline in sell-side momentum is an important phenomenon, but the trend has not shown a decisive reversal.
The actual movement of change may require a clear flow of purchasing quantity and a complete cessation of price movement to confirm the transformation of the cooling phase into a new phase of accumulation.
NEXO price is indicating a steady rise within a wedge pattern
During the past ten weeks, nexo price The market saw a bullish rally from $0.61 to currently trading at $0.914, recording a 49% gain. Interestingly, this bounce appeared as a new bullish cycle within a falling wedge pattern formation on the daily charts.
Since December 2023, Nexo price has resonated within two converging trend lines that act as dynamic resistance and support for cryptocurrency traders. Typically, a narrow range indicates weak downward momentum in price leading to a strong rebound and major breakout.
The rally also managed to reclaim the slope of the 20 and 50 moving averages, reinforcing the bullish narrative in the market. With continued buying, Nexo price could rise 27% to challenge the wedge pattern resistance at $1.15. A possible breakout of the wedge pattern will be the main signals for a new bullish rally.
Conversely, if sellers continue to defend the wedge pattern resistance at $1.15, NEXO price may enter a new corrective trend,
