DYDX has completed a bearish ABCD pattern, with sellers eyeing the $0.55–$0.57 demand zone as the next critical support level.
Market cap slipped from $570M to under $500M in six days, reflecting heavy volatility and fading bullish momentum.
Bulls must reclaim $0.70+ to flip momentum back, while bears aim for deeper downside toward the $0.50 mark.
DYDX price has slowed after forming a bearish ABCD setup, slipping toward $0.63. Sellers remain active, while bulls now face the task of protecting key support levels that could decide the token’s next direction.
Bearish Pattern Weighs on Price
According to Alpha Crypto Signal, DYDX formed a clear ABCD structure with point D near $0.75. After this peak, momentum shifted, and price slipped back below $0.65. Sellers remain in control, with downside pressure building.
https://twitter.com/alphacryptosign/status/1957727957033841125
The retracement aligns closely with previous ranges. The $0.55–$0.57 demand zone is now the most important level on the chart. This area supported multiple consolidations in June and July. If DYDX loses it, bears may target $0.50. On the other hand, reclaiming $0.70 could flip the structure back to bullish in the short term.
Technical Indicators Show Mixed Signals
On the 4-hour chart, DYDX is consolidating between the lower and middle Bollinger Bands. Immediate support is seen at $0.62, while resistance aligns with the upper band near $0.69.
The Stochastic RSI is forming a crossover near mid-levels, suggesting that short bursts of momentum could be on the way. Even so, candlesticks remain neutral, offering little direction. Volumes have stayed steady, with small spikes during rebounds from $0.62, showing that traders are holding back and waiting for a stronger signal before making bigger moves..
Market Cap Reflects Volatility
Data from CoinMarketCap shows DYDX market cap fluctuating sharply between August 13 and 19. A strong rally pushed values above $570M on August 14, marking the weekly high. However, profit-taking soon dragged the figure back under $540M.
Source: CoinMarketCap
By August 15, capitalization slipped closer to $500M and continued to weaken. On August 19, DYDX’s market cap slipped below $480 million before quickly rebounding to $500 million. In just six days, the token shed over $90 million in value, highlighting the sharp volatility at play.
For now, market structure leans bearish as long as the ABCD pattern holds. The $0.55–$0.57 support zone will decide the next direction. A strong reaction there may spark another rebound, while a breakdown could extend losses to $0.50. Bulls, meanwhile, need to push past $0.70 to regain momentum.
With both technicals and capitalization showing pressure, DYDX remains at a crossroads. Traders are keeping a close watch on support levels as the market searches for direction in the coming sessions.
