Algorand Captures Bullish Momentum

The new trading week has started on an exceptionally high note, with Bitcoin once again breaking its all-time high. In last week’s technical analysis, we recommended opening buy positions on Bitcoin, and traders who followed our guidance are now in an excellent position to secure significant profits.

As always, our mission is to deliver long-term value to our clients. Today, we shift our attention to another cryptocurrency that may follow Bitcoin's impressive trajectory: Algorand.

4-hour time frame analysis

ALGOUSD - 4 Hour Time Frame

Our technical analysis highlights a critical observation: Algorand's price has shown a strong positive reaction to a key support zone formed during the previous correction phase.

This zone, marked in blue on the attached chart, demonstrates that the price is respecting bullish trends, signaling strong potential for upward movement in the days ahead.

Currently, the price is in a corrective phase, presenting an attractive entry point at a favorable valuation. During this phase, the price briefly dipped below a significant low, sweeping liquidity and enabling larger market participants to accumulate positions at lower levels. S

Such movement often precedes substantial upward momentum, making it a compelling setup for traders.

Algorand price target

The buying opportunity was confirmed when the price closed above a key resistance zone, converting it into a new support level. At this point, entering a position becomes strategically advantageous, with a Stop Loss set just below the internal low indicated on the chart.

If the price closes below the confirmation support zone, marked in orange on the four-hour timeframe, it would be wise to reduce the position to protect capital. However, the remaining position can be held until the price reaches Buy-Side Liquidity levels, where additional profits can be secured.

This balanced approach, which prioritizes risk management while maximizing reward potential, positions Algorand as a promising opportunity for traders seeking to capitalize on current market conditions.