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BAT Soars Almost 100% Year-To-Date As Bulls Plan A 36% Breakout To New Highs

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Basic Attention Token (BAT)
Basic Attention Token (BAT)

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Basic Attention Token (BAT) price, like other altcoins in the crypto market, has followed the positive tone set by Bitcoin (BTC), soaring almost 95% year-to-date. The token started its rally on January 1, with bulls and bears engaging in an active dominance battle that delivered increased value to the asset.

Nevertheless, the rally was paused after the asset was trapped within a crucial supply zone between $0.161 and $0.33. The first to exit this space between bulls and bears will lead the BAT market, at least for the short term.

BAT Trading Volume Plummeting

At the time of writing, the BAT price was trading at $0.295 after losing 5.31% in the last 24 hours. The token was down 26.6% in trading volume to $57.64 million, indicating growing uncertainty among traders as investors continued to sell their holdings, dropping BAT market cap by 5.16% to $437.67 million.

BAT Trading Volume
CoinMarketCap Chart: BAT Trading Volume

Basic Attention Token is the ticker token powering a new blockchain-based digital advertising platform called Brave. It is natively integrated into the Brave internet browser and is designed to reward users for their attention while simultaneously providing advertisers with a better return on their ad spend.

At press time, the BAT token stood at #91 on CoinMarketCap.

BAT token is not just a token but an innovative technology committed to changing how the world views online advertising. It gives users more control over their browsing experience while at the same time reducing or eliminating third parties, hence delivering a fair and more efficient ecosystem.

BAT Dominates The Advertising Market

BAT, the crypto asset for the new internet economy, serves advertisers, publishers, and users on the Brave platform to create a more efficient, transparent, and secure digital advertising network. While marketers on the Brave ecosystem use BAT to buy advertising space, publishers earn the token when they display adverts on their websites.

Platform users also earn the token when they view the advertisements, with one of the token’s use cases being “supporting website or content creators.” Brave browser prevents unwanted trackers and ads, delivering a faster and more secure browsing experience. Brave users also reserve the choice to let the browser show different ads, with ad revenues being shared between the marketing network and the web user.

As mentioned above, you are paid for your attention to ads, with the payments being made in the BAT token. Such a mechanism creates a mutually beneficial situation where users enjoy a good browsing experience while content creators get paid directly by their audiences. Notably, this aligns with the decentralized ideas of Web3.

Furthermore, the BAT-powered advertising network also gives publishers access to a different ad network with more active web users.

Basic Attention Token Price Targets 36% Gains To $0.401

As it stands, the BAT token is trading far below its record price, with the current price being 85.4% lower than its November 2021 peak price of $2.025. It has been trading with a bullish bias since the year began, recording higher highs and higher lows as the price moved within an ascending parallel channel. Such a channel forms when two parallel, sloping lines shepherd an asset’s price action, with the price testing both boundaries at least twice.

Such a technical formation indicates a bullish trend, with the lower boundary acting as a support line by connecting consecutive higher lows, while the upper boundary acts as resistance connecting consecutive higher highs.

BAT price, currently at $0.295, is facing the immediate barricade at $0.32 as bulls look to record further gains. As mentioned earlier, the token price is trapped within a supplier congestion zone with bulls and bears each attempting a breakout.

An increase in buyer momentum from the current level will set the BAT price to break the $0.32 barrier tethered to the upper boundary, opening the path for a breakout. This move would mean a 100.57% price surge from the support floor at $0.161.

Past the breakout, BAT price would have a free way to rise and confront the next resistance at $0.353. Breaching this level would solidify the token’s exit from the supplier congestion zone. In extreme cases of buyer ambition, the price could climb to the $0.4 range high, completing a 35.75% increase from the current level.

BAT/USD Daily Chart

Basic Attention Token (BAT)
TradingView Chart: BAT/USD Daily Chart

The positive breakout was a feasible case for the BAT token, given the strong support its price enjoyed downward due to the 200-day Simple Moving Average (SMA) at $0.285. This was a possible shed for the bulls to help them organize their resurgence.

I bring your attention to the pending golden cross that would occur once the 50-day SMA at $0.224 crosses above the 100-day SMA at $0.23. A golden cross is a bullish crossover that occurs when a slower-paced moving average moves above a faster one, signaling the onset of a new bullish trend.

In addition, the Moving Average Convergence Divergence (MACD) indicator was moving in the positive region above the mean line, with the histograms flashing green, indicating that there were more bulls than bears in the market. It is worth mentioning also that the upward movement of the 50-day SMA hinted at more buyers entering the market.

On the other side of the fence, bears were on the front line in the Basic Attention Token market, as evidenced by the two straight red bars between Wednesday and Thursday, February 9, as they pulled to break below the channel and lose the support due to the lower boundary.

If selling pressure increases, BAT price could descend below the 200-day SMA and $0.281 support levels exposing it to a cliff that could see the internet browser token plummet to the $1.161 support floor.

Notice that although the Relative Strength Index (RSI) at 66 was still in the safe zone (below the overbought level), it was tipping downwards to show that buyer momentum was wearing out and bears had a chance to tow BAT price downward.

Furthermore, the histograms fading from deep green to pale green added credence to the decreasing buyer momentum narrative, and BAT price could reduce further.

Alternatives Worth Considering

While Basic Attention Token bulls fight to keep the price within the ascending parallel channel as a vehicle to more gains, consider MEMAG, the native token for the Meta Masters Guild ecosystem.

Meta Masters Guild is set to become the largest mobile gaming guild in Web3. The project creates fun and addictive games with playable NFTs while at the same time offering community members the opportunity to earn rewards, stake, and trade.

The MEMAG token is in the presale stage and has raised over $3.67 so far, with only three days left to the next stage.

Buy the native MEMAG token during the presale today!

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