LEO: A Look at Its Recent Consolidation and Future Prospects
LEO has been experiencing a consolidation period for the past three months. This may signify the start of a new trend, which could be a buying opportunity.
What is LEO?
UNUS SED LEO is a utility token used in the iFinex ecosystem, offering Bitfinex users discounts on trading fees depending on the amount of LEO in their account.
The savings are spread across three tiers and vary based on the trading pair. UNUS SED LEO was launched in May 2019 and is not designed to exist forever.
LEO's Potential Future
Before the consolidation period, LEO was in a downtrend and failed to make any positive upsides this year. However, this presents an opportunity for the cryptocurrency to start a bull run soon.
V-Shaped vs. U-Shaped Recovery: In the cryptocurrency market, there are two types of recoveries: V-shaped and U-shaped. A V-shaped recovery is when the price action resembles a V-shape, with a sharp increase after a period of decrease. A U-shaped recovery is when the price decreases, consolidates, and then starts an uptrend.
LEO is currently in a U-shaped recovery stage. Its price has been decreasing and consolidating, and for a recovery to start, it needs to make a new high above $4.00. However, if the price falls below the $3.30 support, this analysis will be invalidated, and we may see the price go even lower.
Bottom Line: LEO is currently in a consolidation period, presenting a good opportunity for investors to buy in anticipation of a potential uptrend. Understanding the recovery stages and price points is crucial for making informed investment decisions.
