DigiByte (DGB) Taking Support From Lower Levels
DigiByte (DGB) was originally put forward in 2013 and began offering its services in 2014. In the last seven years, the blockchain network and its security have improved by a considerable margin. It uses five cryptographic algorithms and real-time difficulty adjustments to control malicious mining centralizing and hash fluctuations.
Digibyte is a proof of work, based cryptocurrency that rewards miners for validating its blocks. It has a current market capitalization of close to $825 million as per the closing date on June 27, 2021. Currently, DGB supports smart contracts, decentralized applications, and secure authentication. Many people consider DigiByte as a potential digital asset that can climb new highs in the years to come. It is this reason that has perhaps caused an increase in momentum and higher price action.
DigiByte Technical Analysis
Pushed and heckled by the negative sentiment in the cryptocurrency market, we have witnessed huge profit bookings and value shrinkage. DGB has been technically crushed in terms of lost valuations. From the peak highs of $0.185 on May 01, 2021, to the lows of 0.031 on June 22, 2021, DigiByte lost more than 75% of its valuation in a short time frame of under two months.
While most other cryptocurrencies at least showed a tendency to retest the nearest resistance, DGB has been making consistently lower lows at every swing. Currently, DigitByte has taken support from the historical price action line around $0.034 and has moved 20% from its recent lows. Facts aside, the fundamentals of this crypto asset seem dull, and there is no favorable arrangement to make DGB a thought after investment.
The only long-term hope for DGB will be to close above the 200-day moving average, which is currently around 0.0644. Based on our DigiByte price prediction, The current swing is also headed towards a negative trade; hence it will be wiser to wait for a rebound and start a new swing to make fresh entry at current levels. RSI currently shows a level of 36 on histogram, which can be taken as a sign of weakness and stock revolving close to the oversold zones.
The story on hourly charts is slightly better than overall price action as there is a higher and lower swing at two ends. The range of 0.044 to 0.046 is the higher end of the swing, while the levels of 0.038 to 0.042 are lower. Buying and selling have intensified in the last few days, indicating more transactions. The rise in hourly volumes since the last couple of hours is phenomenal, indicating an increase in buying action. Even RSI is retracing from overbought zones and is currently below 60. This action fuels DGB’s potential to retrace some of its lost value.
The current swing will head towards green zones after hitting the buying levels close to $0.038 to $0.042. For now, this range will be a haven for new investors in the short term. But the situation in the long term can only improve after crossing the 200-day moving average line.