The cryptocurrency market has posted a minor recovery but the “bearish” trend remains intact. In only several days the price of Basic Attention Token has weakened more than 20% and at this value of the Basic Attention Token, the total market cap of Basic Attention Token is around $250 million. The future of Basic Attention Token still remains unclear, the current price is around $0.166 and according to technical analysis, the downtrend is not over yet. Basic Attention Token pays publishers for their content and users for their attention while providing advertisers with more in return for their ads. Basic Attention Token has its token BAT that can be exchanged between users. As a crypto-currency, BAT is very similar to all other cryptos but it is used by Brave Browser, an open-source web browser that automatically blocks ads and trackers. Brave Browser and BAT allow users to monetize their attention and personal information. Users are able to choose how they engage with ads and what information they share with marketers. In exchange, users receive payments of BAT which they can use to subscribe to ad-free browsing services at their favorite websites. Some problems include BAT’s ability to effectively battle ad fraud (this is hugely expensive). Also, some experts are skeptical and they can’t see how they’ll possibly be able to provide advertisers with better data than Facebook already can and how they’ll keep users in their browser rather than the apps these social networks provide. In the chart below (a period from March 2019), I have marked major resistance and support levels which can help us to understand where the price could move. The current resistance levels are $0.2, $0.25 and $0.3, $0.15 represents the strong support level.
It is very hard to explain the real value of Basic Attention Token and because of that, I would recommend to everybody to be careful with investing in BAT. Basic Attention Token remains in the bearish phase but if the price advances above $0.3 it could be a good sign of the trend reversal. If the price drops below $0.15 strong support that would be a strong “SELL” signal and the open way to $0.13.
Recommendation: Basic Attention Token is a very risky cryptocurrency with some problems and investors should be careful with investing in BAT. Positive things for BAT are good leadership with an extremely good reputation/track record, it solves a really interesting problem, and has the possibility of mass adoption. The price of Basic Attention Token has weakened from $0.5 below $0.15 in less than 180 days and the current price could not be considered the end of this trend. The cryptocurrency market volatility is also one of the things that scares investors away and this is one of the reasons why the market is under the pressure. If the price jumps above $0.30 that could be a very good opportunity for the short term traders, short-term traders can put the stop-loss at $0.25 and take profit at $0.35 or above. The strong support level of this cryptocurrency stands around $0.15 but according to technical analysis, the downtrend is not over yet.