BAT Forms a Triangle: Is It the Time of a Breakout?

BAT Forms a Triangle: Is It the Time of a Breakout?

Basic Attention Token is a cryptocurrency that aims to take digital advertising to a new level. How do you feel if you get monetary incentives to view digital ads? BAT makes it possible. It is an Ethereum based cryptocurrency that works only on Brave web browser. The token BAT can be exchanged between publishers, advertisers, and users through a decentralized platform. It wants to make digital advertising profitable for all the groups. 

It works in a very simple way; after viewing an ad, the user gets rewarded with a BAT. The publishers and advertisers also get tokens as a reward. It is a win-win situation for all. The user can donate the BAT to the content creator or exchange it for cash. 

Brave Software founder Brendan Eich created BAT. His mission is to bridge the gap in the digital advertising sector. Sometimes publishers are victims of fraud; they do not get rewards for their spending. Moreover, digital advertising is dominated by two big brands, Google and Facebook. BAT wants to change it. BAT cuts the middleman out of this whole process in this decentralized system.

BAT Chart

At the time of writing this analysis, BAT/USD is trading at $0.84. Indeed, it is in a downtrend, forming a triangle pattern. The $0.66 is a strong support level of this coin, and it spiked from the level, but it has faced resistance around $0.97. 

BAT token has been in a downtrend for the last three months by forming lower highs and lower lows, which is not a good sign for this chart. Though the last two daily candles are green, we think the price will come to the support level of $0.77.  

On the daily chart, MACD is neutral, and RSI is around 45, which does not show any sign of bullishness. If we look at the Bollinger Band closely, we can see that the candlesticks are in the lower half of the band, but it will face resistance at the baseline, which can be the moment of breaking the triangle pattern. Based on the BAT price prediction, we need to wait until it breaks on either side.  

We think it is not the best time to invest in this coin because it has been forming a triangle, and we should wait until the price of Basic Attention Token breaks the level. If it goes upward, then you can buy BAT. However, we do not think it is a good chat for the long term until it breaks the level of $1.37.