Kaspa trades sideways as CCI highlights ongoing negative momentum: weekly forecast

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Kaspa slips 0.39% this week

Highlights

Kaspa faces sustained bearish momentum as it trades below key moving averages, reflecting extended technical selling pressure.
Weekly momentum indicators remain bearish, with MACD and ADX both confirming active selling dominance and weak buyer participation.
Kaspa is expected to consolidate between $0.0275 and $0.0335 over the next week, with downside risk prevailing.

Trading volumes remain high as on-chain adoption lags this week

Kaspa is recognized for its Layer 1 protocol leveraging BlockDAG technology, aiming to deliver fast and secure transactions. The project continues to attract high trading volume and maintains community interest, despite a lack of measurable on-chain adoption metrics. No significant product launches or regulatory actions specific to Kaspa were identified during the review period.

Bearish technical signals persist as indicators reinforce downside bias

On the weekly timeframe, Kaspa remains under bearish pressure with the price notably below the MA-20 and MA-50. Dynamic resistance is set at the weekly MA-20 ($0.0329), with no practical support reference from the Ichimoku Kijun due to its distance from the current price. Key indicators reinforce the negative tone: MACD shows a strong sell, the ADX signals an active bearish trend, RSI is in sell territory, Stochastic RSI is neutral, and the CCI points to continued bearish momentum. Bull/Bear Power also signals seller dominance, while weekly volatility is elevated at 17.86%.

Sideways range forecast as upside breakout risk remains muted next week

For the next seven days, Kaspa is expected to trade within a range of $0.0275 to $0.0335, in line with current volatility and prevailing downward momentum signals from the weekly indicators. There is a low probability (less than 20%) of an upside breakout, as none of the four main technical signals suggest a reversal. The baseline scenario is sideways trading within this corridor; however, a move above $0.0335 could open the door to a short-term recovery, while a drop below $0.0275 would indicate intensified selling pressure.

Parshwa Turakhiya, analyst, sees Kaspa caught in a consolidation phase this week as bearish momentum continues to dominate. He notes that price action stayed below both the MA-20 and MA-50, with no new sentiment drivers visible. Technical signals point to an active bearish trend and heightened volatility, keeping conviction low for a reversal. Over the coming week, Turakhiya expects price to stay within the $0.0275 to $0.0335 range, with sellers likely retaining control. "Unless Kaspa decisively reclaims $0.0335, I’ll be watching for sideways churn or a potential downside break — chasing a reversal here remains premature in my view."

Earlier, analysts noted that Kaspa was showing signs of short-term bullish momentum amid emerging volatility, suggesting a possible bottoming process. The current analysis, however, underscores a return to bearish dominance on the weekly timeframe and highlights $0.0275 as the critical downside level that could trigger intensified selling if breached.

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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