Dash Price Analysis: Demonstrating Growing Signs of a Big Bull Breakout, Despite Substantial Staff Cuts

  • Dash (DASH) price is subject to an extended breakout to the upside, with a bullish pennant pattern eyed.
  • The Dash Core Group has to significantly reduce its staff count to cope with the current market conditions.

DASH: Recent Price Behavior

The DASH price finally enjoyed some upside in the session on Tuesday, after three straight sessions of selling. DASH/USDT has been very much within consolidation mode as investors remain cautious after the steep fall on 24th February. Given the recent price behavior, as described, price action has formed a bullish pennant pattern. The price has been narrowing considerably within this structure, making it increasingly likely of a potential breakout to the upside.

Dash Core Group Announces Significant Staff Cuts

The Dash Core Group, the creators of DASH cryptocurrency, is said to be making significant cuts in its headcount as part of an efforts to drastically bring down costs. The prolonged ‘crypto winter’ is the reasoning behind the group needing to take such action. Their current staff count is said to be in the region of 50 but will be set to lose their human resources department and significantly reduce numbers within business development. Reports suggest that these cuts made effective this week.

Ryan Taylor, the Dash Core Group CEO, commented on the planned reduction:

“This was not a decision we took lightly, and we’ve been actively finding ways to reduce the budget over the past several months.”

The decision taken by the organization comes after several months of not hiring, in addition to cuts in salaries and employee benefits. They made such moves to maintain the company’s financial health.

Taylor further attempted to assure the community that the company is not planning to close shop anytime soon. The actions taken are to ensure the group’s financial health remains stable during current market conditions. He added:

“DCG is not at risk of shutting down anytime soon, or of any significant cuts in staffing levels in the near term. We have a significant buffer in place to withstand the impact of the market bottom, whenever that comes.”

Technical Review – DASH/USDT

DASH/USDT daily chart.

Immediate resistance is seen just ahead of the current price, the upper acting trend line of the pennant pattern. $83.20 is the first game-changing barrier that the bulls must break down; such a breach should invite a further chunky wave of selling pressure. The next area of interest would be a supply zone seen just above, observed heading into the big $100 price mark. DASH/USDT last traded up at these heights in December, where the price peaked following the end of year bull run.

Further to the north, the next target zone for the bulls would likely be $120. The price briefly consolidated here at the back-end of November 2018, during the market fall. Lastly, eyes would then be on $140 area, again last seen here in November.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.