Dash Price Forecast: Can Dash sustain its strengthening bullish recovery while holding above EMAs?

• Dash’s recovery continues above $54 on Tuesday, following yesterday’s close above the 50-day EMA at $52.41.
• Market sentiment appears to be strengthening, with derivatives indicators improving and social dominance moving higher.
• A further recovery looks possible as the technical picture points to stronger bullish momentum.

A strengthening market mood is supporting the rebound in privacy-focused cryptocurrency Dash (DASH), which trades above $54 on Tuesday. The move follows a gain of over 3% and a close above the key resistance zone a day earlier. Both improving derivatives indicators and higher social dominance point to firmer sentiment, while a favourable technical picture suggests scope for additional gains.

Do stronger derivatives indicators favour Dash bulls?

Sentiment among Dash traders appears to be picking up, according to derivatives data. After turning positive on Saturday, CoinGlass’ DASH funding rates climbed sharply to 0.0041% on Tuesday. With long-position holders paying short-position holders, the reading points to a bullish outlook.

Further evidence of bullish sentiment comes from CoinGlass’ Dash long-to-short ratio, which stands at 1.02 on Tuesday. Readings above one show that traders are positioning for asset prices to move higher.

A bullish view is also supported by Santiment’s Social Dominance metric for DASH, which tracks the proportion of cryptocurrency media discussions relating to the token. Having moved higher since mid-October, the measure reached 0.275% on Tuesday, its highest reading since mid-September. The increase points to greater market interest and stronger sentiment among Dash investors, which could help sustain the price recovery.

Dash technical outlook: Can stronger bullish momentum sustain the recovery?

A mildly bullish near-term outlook remains in place for Dash, with Tuesday’s price of $54.08 holding above a closely grouped set of Exponential Moving Averages (EMAs). Underpinning the trend are the 50-day EMA at $52.41, the 100-day EMA at $48.95 and the 200-day EMA at $45.07, all below the current market price.

Further signs of strengthening upward momentum, rather than exhaustion, come from the Relative Strength Index (RSI) near 53 and the Moving Average Convergence Divergence (MACD), which remains positive and is rising.

The first downside support is the 50.0% retracement at $53.82. Together with the 50-day EMA at $52.41 and the horizontal level at $52.03 just below it, this forms a nearby demand zone. Further down, support lies at the 100-day EMA near $48.95 and the 61.8% retracement at $47.93.

For DASH to advance, the next resistance to watch is the 38.2% Fibonacci retracement around $59.72, followed by the 23.6% retracement near $67.01. A move above the latter would clear the way for a more prolonged bullish phase.

(The technical analysis of this story was written with the help of an AI tool. Know more.)