KAS adds 8.81% with momentum held in check by dynamic resistance at MA-20: weekly forecast

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Kaspa rises 8.81% this week

Highlights

Kaspa is trading below its key moving averages, indicating persistent medium- and long-term downward pressure.
Despite an 8.8% weekly rebound and recent buyer activity, momentum indicators remain broadly negative, signaling ongoing bearish sentiment.
Next week's projected range is $0.0325 to $0.0392, with a higher probability of a downward move than a bullish breakout.

Bearish momentum prevails as technical signals remain weak this week

On the weekly chart, Kaspa remains below both its MA-20 and MA-50, with the MA-20 at $0.0376 acting as dynamic resistance above the current price. Weekly volatility is high at 18.79%. Momentum remains negative, with the MACD on a strong sell and the ADX indicating continued bearish momentum. The RSI is modest at 43, pointing to limited upward strength, while the Stochastic RSI is fully overbought and the Commodity Channel Index is neutral. Bull/Bear Power is on a strong buy, reflecting recent buyer activity, but overall momentum remains bearish.

Sideways bias likely as resistance caps upside for the week ahead

For the coming 7 days, the expected trading range is $0.0325 to $0.0392, based on weekly volatility and resistance levels. With all four key indicators signaling no buy, the likelihood of an upward breakout above $0.0392 is low, estimated at under 20%. The baseline outlook anticipates continued sideways action between the support at $0.0325 and resistance at $0.0392. Should KAS fail to hold $0.0325, further downside is likely, while a surprise bullish move could only follow a momentum shift above $0.0392, which current weekly signals do not support.

Jainam Mehta, market strategist, sees Kaspa’s price action this week as a technical rebound within a broader bearish trend. Despite an 8.81% recovery, the failure to reclaim the weekly MA-20 at $0.0376 keeps momentum skewed to the downside. He notes divergences in indicator signals, with bullish Bull/Bear Power but prevailing negative momentum—suggesting the market is vulnerable to renewed selling unless a momentum shift occurs. "I remain neutral this week; as long as KAS stays capped below $0.0392 and momentum readings fail to confirm, I see no compelling reason to bet on a sustained upside break."

Earlier, analysts noted that Kaspa’s bullish technical structure was tempered by overbought conditions and the risk of momentum exhaustion. The latest data reinforce a more cautious outlook, with the current bearish trend and limited breakout potential putting additional focus on KAS’s ability to hold above the $0.0325 support level in the week ahead.

Source of Data: KAS Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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