Steemit (STEEM) Technical Analysis – Engine Room, More STEEM

Steemit is a blogging and social networking website that uses its STEEM blockchain based rewards platform for its publishers. The Steem blockchain produces both STEEM and STEEM dollars, which are tradeable tokens obtained for Posting and Commenting on content.

User accounts can up-vote posts and comments similar to other blogging websites or social media news websites. and the authors who get up-voted can receive a monetary reward in a cryptocurrency token named STEEM and US Dollar tokens known as Steem Dollars.

With that behind us, let’s take a look at what is transpiring with STEEM from a technical standpoint.

As we can observe from the daily chart below, STEEM, like many in the cryptocurrency universe, experienced a difficult time (from a token price point of view) during the 1Q18, whereby the coin shed 85% of its value off of its all-time high print of $9.25 on 1-3-18 before finally bottoming-out on April Fool’s day at $1.32. Nevertheless, things are starting to perk-up once again for STEEM.

Observing the daily chart above, we can see that STEEM is now trading above all of its important moving averages 20/50 and 200DMA’s, respectively, which from a technical view, is a favorable position.

In addition, we can also observe that the 20DMA (blue line) is rising, as well as its 50DMA (yellow line) in the early process of turning higher. Both positive developments.

Digging in a bit deeper, we can also observe that STEEM is beginning to carve-out a potential Cup&Handle (CnH) formation as well as building-out the right shoulder of a potential inverted Head-and-Shoulders (H&S) pattern. Both favorable indicators should they ultimately develop and complete.

Nonetheless, there’s a lot taking place here from a technical perspective, albeit, further work remains and should either and or perhaps both patterns noted above, materialize to completion, STEEM may just be on the tracks to higher ground.

Moving forward, both investors/traders may want to pay particular attention to the $4.85 level. Should STEEM be capable of taking out the level at any point in the days/weeks ahead, such development, should it materialize, suggests a possible move into the $6.25-$6.50 zone, with the $3.35-$3.50 area lending potential short-term support.

Engine.Room.Moar.STEEM.

Happy Trading!

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Roel Hemkes via Flick

Chart courtesy of tradingview.com