The Stacks coin price is on the verge of a major breakthrough. Although first-time around, STX couldn’t clear resistance, it may just be a matter of time.
STX is trading at $1.3127 -0.0595 (-4.35%).
Despite giving back almost 10% in the last 24 hours, Stacks coin is still 58% higher over the last seven days.
The Stacks platform differs from many in that it’s designed to facilitate DApp development on the Bitcoin blockchain rather than the more popular Ethereum.
The layer-1 scaling solution for Bitcoin has added more than 1.2 billion to its valuation just in the last three weeks. And the current $1.55 billion market cap ranks STX as the 55th largest cryptocurrency behind Huobi Token.
Just as the offering sets STX apart from its peers, the Stacks coin price performance has also been unique of late.
STX Technical Outlook
The daily chart highlights just how impressive a run STX has been on since the 22nd of June low.
STX tracked the broader market weakness lower at the tail-end of last month. Subsequently, by June the 22nd had reached a low of $0.4922. However, in the 20 days that followed, the Stacks coin price closed higher 90% of the time, leaving 18 out of the last 20 daily candles green.
At yesterday’s $1.5150 high, STX had gained 208% from June’s bottom. Subsequently, the price had advanced beyond the 50, 100, and 200-day moving averages at $0.9128, $1.4014, and $1.0893, respectively.
Although, due to failing to clear the robust horizontal resistance offered by March’s previous all-time high at $1.4993, today STX has lost the support of the important 100 DMA.
Therefore, $1.5000 should be considered a key resistance area, and a close above this level would further cement the bullish view.
However, one last bone of contention is the 24th of May high at $1.6110. But should this be handled, there is no meaningful resistance until the 5th of April’s $2.9050 record price.
As much as the outlook appears positive, we should bear in mind that STX has already done an immense amount of work. Therefore, the price may need a period of consolidation before advancing.
However, a solid support level is seen at the 200 DMA at $1.0893. And as long as the Stacks coin price sustains this threshold, I will remain bullish about its prospects.
Stacks coin price chart (Daily)
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