Will Kusama (KSM) help to expand Polkadot?
Kusama offers a public pre-production environment before releasing Polkadot projects on the network. It works as a sandbox for the developers and offers different facilities for testing before finalizing the design for Polkadot projects. KSM is a native coin of this network used to pay gas fees. At the time of writing this analysis, the KSM price is trading around $25.8.
On the daily chart, it has received high volume in the last few days; RSI and MACD suggest bullishness for the short-term; Bollinger Bands also lack volatility, but we think $22 is a crucial level if Kusama breaks that level, it will continue the downtrend, but if the KSM crypto holds this level, it will change the momentum even for the long term.
On the daily chart, the Kusama price surged in July, but it faced resistance of around $63. After that, it has been in a downtrend, and it will continue if it breaks the current support.
On the weekly chart, Bollinger Bands lack volatility, but candlesticks are forming in the lower BB with bearish MACD and RSI, suggesting a long-term downtrend.
RSI is below 30, which suggests an oversold position on the price chart, so we do not think it is an ideal time to invest in Kusama for the long term unless it takes support around a certain level on the weekly chart.
Indeed, the value of the KSM coin will increase as the use cases of Polkadot projects will expand in the future. If you are interested in investing in such pre-production environment projects, you can accumulate KSM at a lower level. However, based on the Kusama prediction, it is not an ideal time for long-term or short-term investment.
The market will be volatile in the next few months due to the recession, so that you might get most cryptocurrencies at a lower price in the next year.
If you have invested in KSM, you can hold it for the next few years or accumulate it at a lower level to average the price. Otherwise, you should wait for the ideal opportunity to invest in your favorite coin, like KSM.
