Dusk Network (DUSK) is approaching a very strong resistance area created by a confluence of Fib levels, which could cause a rejection.
The weekly chart shows that DUSK has nearly tripled in price over the past two weeks, culminating with a new all-time high of $0.656 on Dec 15.
The high was made very close to the 1.61 external Fib retracement resistance level at $0.69. This Fib level very commonly acts as resistance after the price reaches a new all-time high.
Despite being close to resistance, technical indicators have yet to show any signs of weakness.
The MACD, which is created by a short- and a long-term moving average (MA), is positive and increasing. This means that the short-term MA is accelerating relative to the long-term one, and is a sign of bullish trends.
In addition to this, the RSI is moving upwards and is above 50. Such readings suggest that the trend is bullish. While the fact that the RSI is above 70 means that it is overbought, it can stay inside this region for a significant period of time. Finally, the sharpest parts of the upward movement usually transpire inside overbought regions.
If DUSK manages to clear the $0.69 resistance area, the next one would be at $1.06, created by the 2.61 external Fib retracement resistance level.