EGLD, Elrond Network’s native coin, was able to break free from a falling wedge pattern during an uptrend seen on August 20.
According to CoinMarketCap, EGLD is up by 0.77% or trading at $53.58 as of this writing.
It can be remembered that EGLD had a stirring bull run last month that has propelled the coin to a spike of 16%. However, since then, the coin has had a massive double-digit decline this August.
EGLD apparently treads the same direction with major crypto Bitcoin that has experienced the extreme downswing that affected the crypto market this month.
An extrication spotted at a falling wedge usually ticks a spike in price. However, is this surefire sign to go all-in for EGLD?
EGLD Hints At Potential Downtrend
On the daily graph, EGLD’s key indicator shows that the trading momentum is routed in such a way that dispels the belief of a potential bullish reversal.
RSI for EGLD looks bleak as it is positioned at 39 or under the 50-neutral region.
More so, the coin’s MFI is set at 35 hinting a downtrend. The CMF dynamic line is also at -0.09 or set under the central line (0.) which implies a disturbing plunge in terms of pressure on the price of EGLD.
Chart: TradingView.com
The downtrend is further validated by the coin’s MACD positioning which is composed mainly of red histogram bars.
Since August 15, the MACD line is spotted crisscrossed with the trend line in a downturn.
This strongly indicates the increase in EGLD selling pressure seen in the past couple of days.
Elrond Down In Social Metrics
Since early August, EGLD doesn’t seem to climb significantly in terms of social metrics.
While EGLD did jump to a social high of 0.144% on August 9, it nosedived real quickly by 86%.
Some 13.35 million EGLD coins were staked on Elrond in the past week. The week before that, 13.33 million EGLD coins were staked.
More so, Maiar Exchange was able to record a 13% decline in TVL the past week. There were no important updates implemented on the network.
As of press time, EGLD’s social dominance is at 0.019% which shows an 86% drop compared to its high seen on August 8.
Since there have been no major updates to the network’s ecology in recent months, progression has been nosediving for several months.
Elrond Network has processed 55.29 million transactions over the past few days, a 5% decrease over the 54.73 million transactions processed over the last week.
Crypto total market cap at $1 trillion on the daily chart | Source: TradingView.com Featured image from Somag News, chart from TradingView.com