KCS, the Native Token of Cryptocurrency Exchange KuCoin, Is Holding Strong Amidst a Market-Wide Downturn

KCS, the native token of cryptocurrency exchange KuCoin, is holding strong amidst a market-wide downturn. The altcoin has defied the broader market downturn with a 1% price increase

KCS, the native token of cryptocurrency exchange KuCoin, is holding strong amidst a broad market downturn. This altcoin has defied the broader market downturn with a 1% price increase in the past 24 hours.

This modest uptick may signal the beginning of a larger bullish trend, as technical indicators are showing technical indicators are showing suggesting that the strength of this move. This analysis takes a closer look.

Buying Pressure Builds For KCS

The latest readings from KCS’ daily chart suggest that bullish pressure is building. Notably, Relative Strength Index (RSI) is at 58.32 and is on an upward trend, which confirms the strengthening demand for the altcoin.

The RSI indicator measures an asset’s overbought and oversold market conditions. It ranges between 0 and 100, with values above 70 suggesting that the asset is overbought and due for a price decline. Converesly, values under 30 indicate that the asset is oversold and may witness a rebound.

At 58.32 and climbing, KCS RSI signals that bullish momentum is gaining traction and buying pressure is intensifying.

Furthermore, the token’s Moving Average Convergence Divergence (MACD) confirms this positive trend. As of Monday, 24 July, KCS’ MACD line (blue) is above its signal line (orange).

An asset’s MACD indicator identifies trends and momentum in its price movement. It helps traders spot potential buy or sell signals through crossovers between the MACD and signal lines.

As in KCS’ case, when the MACD line is above the signal line, it indicates bullish momentum in the market. Also, traders often view this setup as a buy signal; hence, they might be prompted to buy more KCS tokens, further driving up its short-term value.

KCS Tests Critical Level As Bulls Aim For 58-Day High

KCS is currently trading at $10.71, and it's testing the resistance at $10.90. If the bulls can push harder and flip this price barrier into support, it could propel KCS to $11.77, a high last reached on March 3.

However, if KCS holders take profits, it could lose its recent gains and drop to $10.027.

If this support level fails to hold, KCS could continue to decline, breaking below $10 to trade at $8.94.