Flow Price Corrects, Signaling Potential Downtrend Reversal

The FLOW token's price has retreated, testing the 20-day EMA support mark. The price action suggests a trend reversal may be underway, with a bearish crossover on the charts. The token is hovering near critical trendline support, potentially indicating a correction towards $1.20. However, if the resistance level of $1.50 is breached, an upswing may occur.

Flow Price Exhibits Correction, Signaling a Possible Downtrend Reversal

The Flow (FLOW) cryptocurrency has experienced a significant retracement, declining below its 20-day Exponential Moving Average (EMA) support level. This price action suggests a potential correction in the near term, with analysts anticipating a pullback to test the $1.20 support zone.

Technical Indicators Point to a Bearish Trend Reversal

Technical indicators are aligning with the bearish sentiment. A bearish crossover has been identified on the charts, indicating a shift in momentum to the downside. Additionally, a fresh lower high swing formation has occurred, further supporting the potential for a downward correction.

Trendline Support and Resistance Levels

The FLOW price is currently hovering near a crucial trendline support. A break below this support level could trigger a further decline towards the $1.20 support zone. On the upside, the immediate resistance level lies at $1.50.

Intraday Price Volatility and Sentiment Analysis

The intraday price volatility has subsided, reaching 0.072, a decline of over 23%. Furthermore, the total weighted sentiment value has shifted into negative territory, indicating a bearish outlook.

Social Dominance and Twitter Followers on the Rise

Despite the price correction, Flow's social dominance has increased slightly, suggesting a positive community outlook. Similarly, the number of Twitter followers has risen by over 29% this month.

Development Activity and Open Interest

Development activity has witnessed a decline, while the derivative data reveals a short buildup activity, with open interest surging over 1.89% to $24.88 million.

Fibonacci Retracement Analysis

According to Fibonacci retracement levels, the FLOW coin has held above the 38.2% zone, indicating some resilience. However, the Relative Strength Index (RSI) curve remains near the midline, forming a negative crossover.

Circulating Supply and Market Position

The total supply of FLOW coins is 1.46 billion, and the volume-to-market cap ratio is 0.0494. Currently ranked 84th in the global crypto market by market capitalization, FLOW has a market capitalization of $1.39 billion.

Conclusion

The FLOW coin's retracement and technical indicators suggest a potential trend reversal to the downside. Analysts believe the price could soon retest the $1.20 support level, opening the possibility for a deeper correction. Investors should monitor price action closely and manage their risk exposure accordingly.