IOTA Price Analysis: New Proof of Stake Technology Improves the Case for an Imminent Breakout

  • IOTA announces a new proof of concept technology known as Tangle, promising to revolutionize the society.
  • The price of IOTA has been narrowing, like several of its peers, a breakout could be near.

IOTA announces new proof of concept technology

The IOTA foundation recently had an event which was hosted by Arump, a global design and consulting firm. It took place in Toronto, Canada on the 27th September. The foundation wanted to present the new project in which they have been working on at bIOTAsphere, a self-sustaining, non-profit, environment where diverse communities collaborate, interact, innovate and inspire with the aim of creating a better world.

The founder of biOTAsphere Terry Shane, wanted to introduce something new, known as Tangle. It is a Proof of Concept technology that promises to revolutionize society, serving as the foundation for new applications that will be developed on top of it. At the event, Terry Shane was reported to have conducted a live demonstration, using a Tesla car, which was driven by IOTA’s technology. Tangle was involved and real-time data transfers, to increase efficiency in the way that car insurances are charge clients. It also provided near-exact information of the build up to events in the case of an accident. During the event, IOTA clearly demonstrated to the audience how much their growing technology is revolutionizing the auto industry – heavily improving on efficiency, but at the same time proving its cost-saving capabilities.

Technical review

IOTA daily chart

Given the sideways trading, IOTA’s native token has formed a pennant pattern. This could very well be broken in the near-future. The price is trading ever so tightly to the supporting trend line and the above descending line of resistance. In proximity to current levels, sees the 50DMA, which is also containing any upside breakout, for now. The bulls will need to push above the mentioned resistance, tracking at $0.58. This could be very inviting for some further buying pressure. Eyes would then naturally be on the above supply area, seen from $0.75-$0.80. The price has not been seen in this territory since the back-end of August – early September. This range of supply would need to be cleared for $1.00 to come back into the picture again. In terms of support, as mentioned that sits very tightly to current levels. The lower part of the pennant, which is seen at $0.54 area. Further south sees a demand area, $0.45-$0.40. An area where the price bounced on 14th August, to start a trend of recovery from the falling market.

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.

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