In recent times, [Kaspa (KAS)](https://captainaltcoin.com/multiple-analyses-show-kaspa-kas-price-dip-isnt-over-analyst-anticipates-double-digit-crash/) has experienced a mix of both upward and downward price movements. A tweet from crypto analyst Bitcoin Buddha suggests that the token’s price might drop to a key support level, potentially offering traders a buying opportunity.
The tweet also highlights Kaspa’s resilience, hinting that despite the current dip, the token could regain its Top 20 market cap position in the coming months.
## **Trend Analysis and Key Patterns**
Since late February, [Kaspa’s price](https://coinmarketcap.com/currencies/kaspa/) has been fluctuating within a wide sideways range, with multiple attempts to break through significant levels. In recent weeks, a slight bearish trend has emerged, with the price falling from $0.15 to approximately $0.12647.
Bitcoin Buddha’s chart analysis points to two rounded bottom patterns, which suggest periods where buyers have accumulated KAS, preventing further declines. A potential third rounded bottom could indicate another recovery phase, as shown by the projected green arrows on the chart.
These patterns suggest possible accumulation phases, where traders are strategically purchasing at lower prices, anticipating a rebound. The overall trend indicates that Kaspa may be preparing for a recovery if support levels hold.
$KAS might dip to support. It’s consistently outperformed many alts since launch.
A dip could be a great buying opportunity. I hope $KAS will reclaim its top 20 spot in the coming months 👀 pic.twitter.com/Z9kMqhhvRC
— Bitcoin Buddha (@Bitcoin_Buddah) October 17, 2024
## **Crucial Support and Resistance Levels**
The immediate support level for KAS is at $0.09731, which has previously been tested and proven to be a strong bounce point. If this support fails, the next critical level to watch is $0.04961, a historical low that could signal a significant market shift if breached.
On the upside, resistance is seen at $0.15221. A breakout above this level could indicate a return to bullish momentum, with the next target set at $0.21032, which is a long-term resistance point.
For any substantial price recovery, KAS must break through these resistance levels, especially if accompanied by a spike in trading volume.
## **Insights from Bitcoin Buddha’s Tweet**
Bitcoin Buddha’s tweet presents a cautiously optimistic outlook for KAS. Despite the current downward trend, the analyst notes that KAS has consistently outperformed many altcoins, reinforcing the token’s strength. The mention of a potential dip being a “great buying opportunity” aligns with the chart’s indication of a move toward lower support zones.
The tweet also expresses confidence that KAS could reclaim its Top 20 spot in the coming months. This bullish sentiment is rooted in the belief in the project’s fundamentals and historical performance, suggesting that any downturn might be short-lived if key support levels hold.
## **Volume and Market Sentiment**
Volume analysis shows moderate trading activity during periods of decline, indicating the absence of aggressive selling pressure. However, the lack of strong buying volume has prevented an upward movement, [leading to a sustained downtrend](https://ambcrypto.com/kaspa-drops-26-in-30-days-will-kas-see-a-6-month-low-of-0-11/). For a potential trend reversal, it will be crucial to watch for a spike in volume as the price approaches support zones.
Bitcoin Buddha’s tweet adds context to the volume trend, suggesting that any dip to support could spark renewed buying interest. This aligns with historical patterns, where increased volume at key support levels has led to subsequent rebounds.
Kaspa’s potential to reclaim a Top 20 market cap position will depend on its ability to navigate these technical challenges, supported by renewed buying interest at lower prices. The coming months”
Source: captainaltcoin.com