STEPN (GMT) Struggles To Hit $1, Is The Price Running Out Of Steam?

STEPN (GMT) has struggled to show its move in recent months after ranking as the top gainer for several weeks against tether (USDT). The price of STEPN has struggled to rally to $1 despite the market seeing relief bounces across the market, with many altcoins producing double-digit gains, with the price of STEPN (GMT) showing little or no steam left for a major rally. (Data from Binance)

GMT saw a decline in its price from a region of $4 to around 0.63, with an over 70% drop from its all-time high despite having good fundamentals. The price of GMT bounced off after touching a weekly low of $0.63, and the price rallied to $0.95, showing some great strength, but the price was quickly rejected as this area acts as resistance to the price of GMT.

The price of GMT on the weekly chart formed a range between $0.6-$1 as the price continued with little volume, unable to break out of the range channel. For GMT to break out of this range channel, the price needs to be backed with good volume as the resistance at the $1 mark has proven hard for the price of GMT after several rejections at this zone.

GMT price needs to break and close above $1 with good volume for a possible rally to $1.5, where the price would face resistance. A break a close for GMT price above $1 would signal a good relief bounce.

If the price of GMT fails to hold its support at $0.63, seen as a demand zone, we could see the price going lower. 

Weekly resistance for the price of GMT – $1-$1.5.

Weekly support for the price of GMT – $0.63.

The daily timeframe for GMT prices continues to weaken as prices continue to respect the downtrend trendline inside an asymmetric wedge. If the price of GMT continues with this structure, we could see the price retesting the support zone at $0.6.

GMT price needs to break out of the downtrend for the price to have an opportunity to trend higher; a breakout from this downtrend structure to the upside would be a first relief sign for bulls.

On the daily timeframe, the price of GMT is currently trading at $0.66, as the price of GMT on the daily chart closed below the 50 Exponential Moving Average (EMA), acting as resistance for GMT price. The price of $0.8 corresponds to the resistance at 50 EMA for the price of GMT. The price of GMT needs to reclaim 50 EMA for a chance to trend to $1; if the price fails to be reclaimed by the price, we could see the price retesting the support at $0.6 or lower. 

The Relative Strength Index (RSI) for GMT is above 50 on the daily chart, indicating low buy order volume. 

Daily resistance for the GMT price – $0.8-$1.

Daily support for the GMT price – $0.6.