- IOTA continues to establish solid partnerships to develop the IoT standard.
- The market has recently stalled at the $0.40 handle as price action met resistance.
- Support moving forward: $0.32, $0.3056, $0.2820, $0.2484, $0.2283, $0.2173.
- Resistance moving forward: $0.3656, $0.4031, $0.4556, $0.4638, $0.4925, $0.5336.
Latest IOTA News
IOTA has been in a wave of development and continues to establish ground-breaking partnerships.
From their collaboration with Audi, for which results have been described as “positive,” to the team developing a new hashing algorithm, with which they have created a €200k bounty for any hacker that can crack it, IOTA is making progress on their goal of developing the machine-to-machine economy.
Another important, though slightly smaller-scale, partnership to highlight is their recent collaboration with the Norwegian company called NEXT Biometrics.
NEXT is a global leader in the fingerprint sensor technology realm and they have teamed up with the IOTA Foundation to develop IoT solutions that will integrate the NEXT fingerprint sensor technology into the IOTA Open-Source Protocol.
The collaboration will allow the IoT to capture, share and access people’s identities safely and securely which should, in turn, develop new standards for safe and confident identification for use in the IoT markets.
In other development news, the IOTA team is looking to make the transfer of value as simple as sending a message on an instant messaging application.
They aim to do this by enabling the transfer of cryptocurrency value through their developed MAM-encrypted messaging application.
The feature will be added to the next IOTA Trinity Software wallet update. Although no release date has been announced, the Trinity wallet will integrate a feature that will allow users to send IOTA through the MAM messaging application.
This is designed to make the handling of long cryptocurrency addresses much more simpler and accessible to a wider audience.
Now, let us take a look at the IOTA/USD market and highlight any potential areas of support and resistance moving forward.
IOTA Price Analysis
IOTA has seen a small price rise totaling 0.72% over the past 24-hour trading period, with a further 6.33% price hike over the previous 7 trading days.
The IOTA cryptocurrency is now trading hands at around $0.3369, at the time of writing, after seeing an extended price surge totaling 24% over the past 30 trading days.
The IOTA project is now ranked in 12th position and retains a $918 million market cap value. However, the cryptocurrency has seen a serious decline totaling 42% over the past 90 trading days as the market now trades at a value that is 93% lower than the all-time high price.
Analyzing price action from the 4-hour chart above, we can see that the IOTA/USD market had reversed at a downside 1.618 Fibonacci Extension level (drawn in red) priced at $0.2137 on December 16, 2018 and began to rally to a high around $0.40.
IOTA/USD met resistance at the bearish .618 FIbonacci Retracement level (drawn in orange) priced at $0.4031 before the bullish increase stalled.
Since reaching the resistance, the market has retraced slightly as it now trades near support at the short-term .382 FIbonacci Retracement level (drawn in green) priced at $0.3292.
This area of support is further bolstered by the bearish .382 Fibonacci Retracement level (drawn in orange) priced at the same level.
Trend: Bullish Above $0.40
Since the reversal at $0.20, the market has continued to increase by a total of around 50%.
The market is currently trading sideways after pulling back from the aforementioned resistance level. If IOTA/USD can continue to climb higher again and break above the $0.40 handle, we can consider that the market has re-entered its short-term bullish run.
Where is the Resistance Above the .382 Fibonacci Retracement?
If the buyers can regroup their effort and begin to push price action higher from the current support level at the $0.32 handle, we can expect immediate resistance toward the upside to be located at the bearish .5 and .618 Fibonacci Retracement levels (drawn in orange), priced at $0.3656 and $0.4031 respectively.
This bearish Fibonacci Retracement is measured from the November 2018 high to the December 2018 low.
If the bulls can continue to progress further above $0.40, higher resistance can be located at the bearish .786 Fibonacci Retracement level (drawn in orange) priced at $0.4565.
Further higher resistance can then be expected at the 1.272 and 1.414 Fibonacci Extension levels (drawn in purple), priced at $0.4638 and $0.4925 respectively.
Where is the Support for IOTA Located Beneath $0.39?
If the sellers manage to cause IOTA/USD to penetrate below the $0.39 support level, we can expect immediate support beneath to be located at the .5 and .618 Fibonacci Retracement levels (drawn in green), priced at $0.3056 and $0.2820 respectively.
Further support below $0.28 can be found at the .786 and .886 Fibonacci Retracement levels (drawn in green), priced at $0.2484 and $0.2283 respectively. This is closely followed by the previous downside 1.618 Fibonacci Extension level (drawn in red) priced at $0.2137.
Conclusion
An ambitious project like IOTA will take a significant amount of time to develop into a flourishing economy.
However, at this moment in time, the IOTA team is progressing at a great speed as they continue to lay the groundwork for the creation of solid standards in the upcoming machine-to-machine economy.
