• The medium-term is in a downtrend while the short-term outlook is in a range-bound market.
• Responsible selling at key area may be considered.

ONT/USD Medium-term Trend: Bearish

Supply zones: $2.00, $2.50, $3.00
Demand zones: $0.80, $0.60, $0.40

ONTOLOGY is in a downtrend in the medium-term outlook. After a good run that pushed the coin up at $1.1435 in the supply area, the bulls lost momentum denoted by the wick in the candle of the 4-hour candle on 20th July. This was the second retest of the area after the first on 12th July. The bearish railroad of 22nd further confirms the downward movement with $0.9071 as the low of yesterday session.

The bulls had a brief return after the formation of the hammer at $0.9312. The rally ended as the market opens today and price rose to $0.9776 in the supply area and closed as a bearish spinning top, which connotes end of the rally and resumption of the downward movement.

ONTUSD fell to $0.8986 before the commencement of the upward movement creating a bearish flag which may face rejection around the 50-EMA and may return the bears for the next drop in price. $0.8500 in the demand area is the bears' target in the medium-term.

ONT/USD Short-term Trend: Ranging

ONTUSD is in a range-bound market in the short-term outlook. The coin entered consolidation yesterday after rejection at the 50-EMA shortly after a high at $0.9950. ONTUSD fell to $0.9071 at the lower price but the day ended on a bearish note after a high at $0.9761held on to the market. Price fell further as the market open today to $0.8986 at the lower price range before momentum loss.

The formation of bullish reversal candles at the lower demand area informed the rally as the coin rose to $0.9690 in the range.

Price is hovering between the two EMAs and the signal of the stochastic oscillator is parallel at 72%, which implies continuation in the ranging scenario in the short-term.

$0.9800 is the upper supply area while $0.9000 is the lower demand area. A breakdown or breakout in price may occur, hence patience should be exercised before taking a position after retest.

The views and opinions expressed here do not reflect that of BitcoinExchangeGuide.com and do not constitute financial advice. Always do your own research.