Theta Fuel Price Struggles with the V-shaped Recovery as Bulls Eye $1

Last Updated July 23rd 2021
2 Min Read
  • Theta Fuel's bullish momentum fizzles out before hitting an all-time high of $0.65.
    • The MACD's bullish impulse adds credence to the bulls' bid for $1.

    Theta Fuel has performed incredibly well in the first couple of weeks of June. Following the consolidation in May, the token massively broke out, to the extent of hitting a new record high of $0.68.

    However, the volatility in the market last week saw TFUEL abandon the journey to $1 midway, retreating to $0.4. Support was provided by the 50 Simple Moving Average (SMA) on the four-hour chart.

    Meanwhile, a sharp recovery followed the support, which continues throughout the weekend session. Theta Fuel made it to levels above $0.5 but lost steam at $0.6. At the time of writing, the token trades at $0.53 amid a potential retreat.

    Theta Fuel bulls champion gains to $1

    Despite the barrier at $0.6, the Moving Average Convergence Divergence (MACD) indicator has a massive bullish outlook. This follows an upswing from the negative region and stepping above the zero line. Besides, the MACD line (blue) keeps widening the divergence above the signal line, adding credibility to the expected gains.

    TFUEL/USD four-hour chart

     TFUEL/USD 4-hour chart 061421

    On the downside, immediate support is expected at the 50 SMA on the four-hour chart. If Theta Fuel bounces off this level, gains aiming for $1 will be triggered. On the upside, the seller congestion zone must come down at $0.6 to bring TFUEL out of the woods.

    The uptrend has been validated by a buy signal emanating from the SuperTrend indicator. This is a chart overlay, just like the moving averages. It tracks the trend of an asset and measures its volatility.

    Traders use this tool to know when to long or short an asset. With the SuperTrend turning green from red, it implies that buyers have the upper hand. As long as this technical indicator remains intact, the uptrend will soon resume toward $1.

    TFUEL/USD four-hour chart

    TFUEL/USD 4-hour chart 2 061421

    Another bullish signal comes from the Parabolic SAR on the same four-hour chart. The technical indicator presents dots that flip above and below the price, thus indicating the direction of the trend. With the parabolas currently beneath the price, Theta Fuel is in the hands of the bulls and it is a matter of time before buyers take the bull by the horns and push gains toward $1.