COMP Technical Analysis: Pump At $44 Struggles At 50-day SMA

COMP technical analysis shows a bullish reversal from $44, resulting in a power struggle at $50 to beat the 50-day SMA. The falling trend in the COMP prices takes support at the $44 mark resulting in a sharp bullish rise within the last night. The 12% jump overnight results in a bullish engulfing candle, but the follow-through candle faces opposition from the 20-day SMA. So, will this overnight jump succumb under the increased supply at the SMA? Key Points: The COMP price action forms a bullish engulfing candle in the daily chart. The higher price rejection from the 20-day SMA warns of a bullish failure. With a market cap of $358 million, the intraday trading volume of Compound has increased by 63% to reach $171 million. Source – Tradingview COMP Technical Analysis The COMP prices maintain an overall downtrend in the daily chart after facing opposition from the 100-day SMA near the $65 mark. The bearish turnaround from the opposing SMA results in a drop to the $44 support level. However, the recent increase in buying pressure resulted in a 12.92% jump overnight to create a bullish engulfing candle in the daily chart. But the 20-day SMM opposites bullish follow-through led to a higher price rejection candle. Furthermore, the increase in intraday trading volume supports the higher price rejection increasing the possibility of a bearish turnaround. If the buying pressure increases, the possibility of buyers undermining the opposi...