IOTA Price Remains Firm in Comparison to its Peers Following High Mobility Partnership

 

  • New collaboration announced bewen IOTA Foundation and High Mobility.
  • Despite recent bounce in IOT/USD, the price remains vulnerable to further downside pressure.

IOT/USD has been heavily under pressure throughout much of November. This does not reflect IOTA’s fundamental developments by any means. Its downward move is in line with the broad heavy downside pressure seen across the board. The price over the past couple of days has held some ground in comparison to its peers. Support is coming after the recent partnership announcement between IOTA and High Mobility.

IOTA – High Mobility Partnership

Earlier this week, High Mobility announced that they will be collaborating with the IOTA Foundation. Their work together will be to power new mobility applications. The High Mobility developers will leverage IOTA’s ledger to create new forms of applications on the network. Their intentions are to have a streamlined process of app development.

A smart charging blueprint that will be within the IOTA Workspace will power the partnership between both organizations. It will facilitate developers being able to build and test the applications, plugging in High Mobility’s standardized connective car API.

High Mobilitiy’s CTO Kevin Valdek commented on the prospect of the collaboration: “With IOTA’s ledger and the team’s vision for future mobility, we will see it being applied by many new services. The type of applications that can be enabled with IOTA’s technology and vehicle data are many. In the first blueprint we see not only how vehicle data can be put onto a ledger. But also, how it can be combined with charging infrastructure and payments.”

Technical Review – IOT/USD

Since the 14th November, IOT/USD has dropped as much as 45%, having been victim of the overall aggressive moves lower across the market. Looking via the daily chart view, price action had been moving within an extremely narrowing range for a prolonged period. After some excessive swings with the price between July–August period, the price went into consolidation mode.

IOT/USD daily chart

Given the above latter noted behavior, a range block was formed. IOT/USD from the start of September did very little. The upper part of the range was observed at $0.6400 to the downside at $0.4500. It traded firmly within the confinements of this block, until the bears pierced the lower support of the range. This opened the flood gates to a new wave of selling from the bears.

IOT/USD weekly chart

In terms of support, with the chunky fall seen throughout this year, into very unknown territory, the only historical levels to observe are 2017. Observing the weekly chart view, a break of current key weekly support around $0.3100, could see a fast fall down to $0.1500 price region, last seen in July 2017.

IOT/USD 4-hour chart

Lastly, looking at the 4-hour chart view, a bearish pennant pattern structure is seen for IOT/USD, subject to an extended move lower. Despite the recent bounce, price behavior is still very much within consolidation mode, form a range block area. It would not be too surprising to see another fall here.

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.