The recent consolidation of the leading BRC-20 ordinal token, ORDI, has sparked concern among holders. After reaching a new all-time high of $92.22 on January 2, ORDI has experienced a sudden price drop. Many panicked investors are now asking themselves, “Is ORDI price going to zero?” In this article, we will closely analyze the current situation and provide insights into the potential outcomes for ORDI.
Despite the heightened fear among holders, traders on crypto Twitter have remained remarkably bullish. There is a growing anticipation for an upside break in ORDI price soon. Currently, ORDI is trading at a market price of $74.28, reflecting a 24-hour change of +4.9%. This battle for consolidation is taking place as ORDI price retraces -31% from its all-time high.
ORDI bulls have been vigorously attempting to establish support above the ascendant 20DMA since January 5. The 20DMA, currently standing at $73.77, has proven to be a crucial moving average that has provided structure to ORDI price action since December 2. The fact that support has been well-defended despite volatile drops is a positive sign. However, a break below the 20DMA could have devastating effects on ORDI price action.
An analysis of ORDI price reveals that there are lower support levels available at $61.79 and $52.20. This suggests that a complete collapse is unlikely for this top ordinal. The recent retracement has caused the RSI to cool-off significantly, currently indicating a minor bearish divergence signal at 56.48. This cooling-off period gives ORDI price the potential to push up once again. However, the MACD reflects greater bearish divergence, standing at -1.162, indicating sluggish momentum for ORDI price.
The current ORDI price analysis presents a turbulent image of a tough consolidation above an aggressively ascendant moving average. However, with the capacity now available to push up, ORDI price will likely be influenced by Bitcoin’s next move and other ordinals in the market. The upside target for ORDI is at $83.5, representing a possible +11.45% gain. On the downside, a local tumble could see ORDI price drop to $61.79, a potential -17.53% dip. Although the risk:reward ratio currently stands at 0.65, indicating downside risk, it does not suggest that ORDI is headed towards zero.
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