The price of Fetch.ai (FET) saw a decline following its failure to breach the $0.27 resistance zone on September 3rd, initiating a bearish trend.

The situation remains precarious, as failure to secure a close above the $0.23-$0.24 Fib resistance range could signal the continuation of the bearish trend, potentially leading to a significant drop.

Chart by TradingView

Approaching the Ascending Support Trendline

Since its rejection from the $0.27 resistance area on September 3rd, Fetch.ai (FET) has experienced a downward trajectory. However, it’s not all bad news.

FET's price has been following an ascending support trendline since June 2022. Recent validations of this trendline occurred on August 17th and 22nd. These instances were marked by long lower wicks, which indicates buying pressure.

The pace of increase accelerated after the last validation, propelling the FET price to $0.27 on September 3rd. However, it failed to breach this resistance level, which has persisted since May, resulting in the ongoing downward movement.

In order for FET to commence a new bull run, it will need to surpass the 100 Exponential Moving Average. The 100 EMA acts as a mobile support and resistance. Currently, the 100 EMA is above the price, therefore the indicator works as a resistance.

Williams %R is another indicator that we should look at. The Williams %R is a momentum oscillator that gauges the market. If the indicator is below -80, it means FET is oversold and expected to bounce back. If it is above -20, it is overbought and expected to fall back again. Currently Williams %R is approaching oversold levels, which coincides well with the ascending support trendline.

Looking Ahead: FET is approaching an ascending support line, and the Williams %R is approaching oversold levels, which make a rebound on the table. However, for a rebound to take place, the price needs to break above the 100 EMA first.