Verge coin (XVG) Breaking Out The Bearish Cloud Before Halvinghi guys and gals and welcome to the new update on Verge coin. The XVG coin has a very big event on 13 July and almost two days left in this big event. And that is Verge block reward halving.
The breakout from wedge and SMAs:
On the long term weekly chart the price action of Verg coin was moving in a falling wedge pattern. At the end of May 2020 the price action has broken out the resistance of this wedge. This is the same week when the announcement of Verge block reward halving was added on different famous sites. It can be also observed that after this bullish rally the price action broke out the 25 and 50 simple moving averages. And at this time it is likely to breakout the 100 simple moving average resistance as well. If the 100 SMA will be completely broken out then it will be a really very powerful bullish signal. Because the price action will have the 100 simple moving average support on the weekly chart.
A formation of a golden cross:
Now if we switch to the 2 day chart then the price action has also broken out 25, 50, 100 and 200 simple moving averages. At this time the 50 simple moving average is likely to form a golden cross with 200 simple moving average on 2-day chart very soon. Once this golden cross will be formed then it will be a really very powerful bullish signal. Because it considered as a strong buying signal among the trader’s community.
Different support and resistance levels:
The price action of Verge coin is just rejected from the $0.0075 resistance and likely to move down and retest the previous support at $0.006. If this support will be broken down then we have the next support at $0.005 and if the price action will be able to breakout $0.0075 resistance then we have the next resistance level at $0.0085. And after that the next resistance would be at $0.01.
The price action is likely to breakout ichimoku bearish cloud soon:
Now I would like to draw your attention towards a very powerful move by the price action of XVG coin. If we place the ichimoku cloud on long-term weekly chart. Then it can be noticed that the price action was moving below the bearish cloud for the long time. But finally the price action has entered in the cloud and has attempted for the breakout. The lagging span of ichimoku cloud has crossed up the candlesticks and the conversion line has formed bull cross with baseline just below the candlesticks. At this time the price action is moving between the resistance of the bearish cloud and the conversion line. And XVG has a big event of halving on 13th July. Therefore we can expect that the price action might make another attempt for the breakout before or after this event.
Conclusion:
At this time the price action has a very strong support of different simple moving averages and $0.006 level. And halving event in itself is another big support. Therefore we can expect that the price action of Verge coin may break out the bearish cloud very soon. And once this ichimoku cloud will be broken out then it can work a very strong and long term support for the price action as it has been working as a strong resistance for long time period.
Xvgcurrency
50/50XVG heading towards the First stop (.382), There is where the bulls and bears with have their fight. Histogram making a W but still potential divergence, Willy EMA heading into the oversold territory, 200 MA most likely to meet up at the 50 gann level. This currently is a wait and watch for me.
Don't forget to hit the like button or follow me on Trading View for more chart analysis.
