On Wednesday June 17, the Japanese crypto exchange CoinTrade announced the launch of staking for Algorand. The annual percentage rate of staking yield would be 4.4%, the announcement reveals.
The Layer-1 token with a market capitalization of $875 million was in a long-term downtrend, technical analyst Chart Nerd pointed out in an article on X.
The massive, multi-year falling wedge from 2021 highs. Current support lies between $0.08 and $0.085.
Based on Elliot wave theory, a fifth descending wave to $0.057 is possible.
Such a decline could be the final blow of the cycle low and could lead to a bullish breakout of the wedge in the long term, the analyst concluded.
As it stands, the final leg down is brewing and could arrive later in 2026. Here are the important support and resistance areas to watch in the coming days and weeks.
Algorand could see a rebound from oversold territory
The swing points on the one-day time frame were $0.145 and $0.079.
Marked in orange, neither level has been disturbed. The April rally, which resulted from the chain’s preparation for post-quantum computing, did not threaten the peak reached earlier in 2026.
The recent retracement below the $0.10 round support has seen a rebound over the past week. The IMF fell into oversold territory but has since moved back towards the neutral zone.
Meanwhile, the OBV was climbing steadily.
The 3-month CVD Spot Taker showed that neither buyers nor sellers had the upper hand. The idea has clashed with OBV’s upward trend in recent months.
Trader Call to Action – Wait for a Bounce to Sell
The $0.095 and $0.105 areas were the nearby support/resistance areas to watch. If the old demand of $0.105, now the supply zone, is eliminated, this would indicate that a move up to $0.128 is possible, based on the retracement levels plotted.
Traders should be wary of going long given broader crypto market sentiment, but also should not jump into an Algorand (ALGO) relief rally if that happens.
Final summary
- The launch of Algorand staking on CoinTrade, combined with oversold conditions, could have contributed to the gains in recent days.
- The longer-term trend remained bearish, but a rebound past $0.105 and up to $0.128 was possible.
