Cookie (COOKIE) is currently retesting a pivotal support level, showing strong technical confluence. Despite a decline in trading volume, the bullish market structure remains intact, increasing the likelihood of a potential rally toward the $0.30 mark.

Key Technical Analysis of Cookie (COOKIE)

Cookie is trading at a critical technical juncture that could determine its next significant price movement. A former resistance level has now flipped into a support zone, creating a potential foundation for bullish continuation. This zone coincides with both the 200-day moving average (MA) and the 0.618 Fibonacci retracement level, making it a decisive area for market participants.

Key Technical Points to Consider:

  • Support Flip: A previous resistance level has turned into support, showing early signs of validation.
  • Technical Confluence: The alignment of the 200-day moving average and the 0.618 Fibonacci retracement adds credibility to this support zone.
  • Bullish Market Structure: Cookie continues to exhibit a pattern of higher highs and higher lows, indicating an ongoing uptrend.
  • Volume Decline: The recent pullback occurred on decreasing volume, often signaling a correction rather than a reversal.
  • Upside Target: A successful rebound could see the price aiming for the $0.30 resistance level in higher time frames.

Price Action and Support Zone Analysis

The current price action for Cookie is testing a former resistance zone that previously capped upward movements. Following the latest pullback, this area has transitioned into a critical support level. The fact that this zone aligns with both the 200-day moving average and the 0.618 Fibonacci retracement adds significant technical weight to the bullish case.

Importantly, the overall trend remains positive. Despite the recent corrective movement, Cookie has maintained its pattern of higher highs and higher lows, which is characteristic of a strong bullish trend. The pullback itself occurred on declining trading volume—a typical indicator of a healthy retracement within a broader uptrend. This suggests the current move is more likely a pause in price action rather than a breakdown of market structure.

Volume as a Key Indicator

For the bullish scenario to play out, an increase in trading volume will be essential. A rise in volume would signal renewed demand, potentially acting as the catalyst for a breakout. If momentum builds, the next major target for Cookie lies at the $0.30 resistance level. This high time frame resistance could serve as a key milestone for traders and investors alike.

What to Watch in the Coming Price Action

If Cookie successfully holds this critical support zone and trading volume begins to rise, it could set the stage for a significant push toward $0.30. Traders are advised to monitor volume closely, as it will likely determine the strength and sustainability of any upward price movement.

As the cryptocurrency market continues to evolve, staying informed about key technical levels and market structures can help investors make strategic decisions. Keep an eye on Cookie’s performance as it navigates this pivotal moment in its price action.

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