Technical analysis by elfabiiani about Symbol KAS: Buy recommendation (6/2/2025)

TECHNICAL ANALYSIS – KASPA/USDT (Daily Chart)Chart Pattern & Price Action:Descending Channel (Falling Wedge): KASPA has been trading within a falling wedge pattern, typically a bullish reversal setup.Breakout Zone Approaching: Price is currently testing the upper resistance of the wedge (~$0.086–$0.088). A breakout from this level may indicate trend reversal.Key Resistance Zone:$0.105 – $0.127: Significant supply area (marked in red). Previously rejected, it is the next target if price breaks out upward.Support Zone:$0.073 – $0.082: Demand zone. Coincides with the Bollinger Band lower range and historical support.Indicators Overview:Bollinger Bands:Price is trading at or near the middle band, showing a neutral-to-slightly bearish bias.A breakout above the upper band (~$0.0895) could trigger bullish momentum.MACD (VMC Cipher_B_Divergences):Strong bearish momentum continues, but we can observe potential bullish divergence forming.Green dot signal at the bottom may indicate a possible local bottom.RSI (Relative Strength Index):Currently at 37.06, near oversold territory.Could signal a bounce if RSI climbs above 40 and confirms strength.Money Flow Index (Art’ Money Flow):MFI is deep in negative; however, these levels often precede trend reversals.Watch for a crossover into positive territory as confirmation.Stochastic RSI:Bullish crossover around 14.53 / 15.67 in the oversold zone.Early sign of potential short-term bounce.TRADING PLANEntry Points:ZoneTypePrice RangeReasonBuy Spot 1Conservative$0.073 – $0.082Strong historical support & bottom of wedgeBuy Spot 2Aggressive~$0.086 – $0.089Breakout of descending wedgeBuy Spot 3MomentumBreak above $0.105Bullish confirmation + breakout of major resistanceTake Profit Zones:TP LevelPriceNotesTP1$0.105First resistance / psychological levelTP2$0.127Strong resistance – expect rejection hereTP3$0.15–0.16Major extension target if strong momentumStop-Loss Strategy:Strategy TypePlacementConservativeBelow $0.073AggressiveBelow $0.080Risk Management:Use position sizing relative to account size (e.g., 1–3% risk per trade).Adjust stop-loss dynamically if entering at breakout.Combine with on-chain metrics or volume spikes for higher conviction.SCENARIOS:🔼 Bullish Scenario (Blue Up Arrow):Breakout above wedge → retest → rally toward $0.105+Break $0.105 confirms macro uptrend continuation🔽 Bearish Scenario (Blue Down Arrow):Rejection at wedge top → breakdown of $0.082 → revisit $0.073 supportBelow $0.073 would invalidate short-term bullish structure