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Kaspa: The PoW Alternative to Bitcoin – Is It Still A Good Buy?

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There have been many comparisons between Kaspa and Bitcoin on the internet lately. Is it real or just clout? The truth is that as a PoW network, Kaspa has better security than the PoS model and can be mined with moderate tech, which can provide greater decentralisation than Bitcoin.

The GHOSTDAG protocol provides faster speed, similar to Visa’s transaction time. Institutional interest is growing; Marathon Digital Holdings (a Bitcoin miner) mined $16 million worth of Kaspa last year.

As much as technical analysis for Kaspa, Sarosh noted a great indicator for a potential move up – a break of June’s downtrend channel. Will momentum sustain, and will price move further to the upside? Follow along as we uncover what the charts show.

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(KASUSD)

Starting with the Weekly timeframe, I have identified a few bullish scenarios. All of them include holding, or, worst case, a sweep, or the liquidity zone. Though market makers love to sweep and hit stop losses, it is good to keep in mind.

Whatever scenario plays out, it is clear that price needs to break out of the resistance dome before further upside. For investors, hopefully, this does not turn into a rounded top and follow a sell-off. This will happen if it moves decisively underneath the FVG zone.

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Kaspa holds a lot of potential as an alternative PoW blockchain. What does Technical Analysis show in term of price prediction?

(KASUSD)

On the Daily chart, we see that the RSI has reset all the way to the bottom. If price holds these levels, there is a chance it made a lower high, which could trigger a move to the $0.11 resistance. That resistance seemed reclaimed for a few days, though it turned out to be a deviation. What we want to see now is a reclaim of the moving averages.

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(KASUSD)

Finally, we will analyse the 4-hour chart. Within the last 3 days, the price increased 34% and is above the MA50 and MA100. The MA200 is next, which aligns closely with the previous high. If we’re to see a move towards $0.11 again, we’d like to see that previous high broken.

Though RSI looks a bit high, it might need to cool off before attempting MSB.

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Kaspa: The PoW Alternative to Bitcoin – Is It Still A Good Buy?

  • Daily RSI is reset, while 4H RSI might need to cool off as well
  • 2024 Weekly FVG might not be tested, though we keep it as plausible
  • Price needs to close above 4H MA200 in order to test $0.11

The post Kaspa: The PoW Alternative to Bitcoin – Is It Still A Good Buy? appeared first on 99Bitcoins.





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