NEXO Technical Analysis Jan 21

NEXO is at a critical juncture at the $0.94 level. Although the short-term downtrend dominates, with RSI in the neutral zone and volume slightly increasing, both upside and downside breakout scenarios carry equal probability; the market will determine direction based on BTC correlation and volume.

Current Market Situation

As of January 21, 2026, NEXO is trading at $0.94 and showed a slight 0.65% increase in the last 24 hours. The daily range stayed between $0.90-$0.94, with volume remaining low at $1.68 million. The overall trend is downward; price is trading below EMA20 ($0.95) and the Supertrend indicator is giving a bearish signal, with $1.03 resistance prominent.

RSI(14) at 45.41 is in the neutral zone, no oversold conditions. MACD histogram is negative and showing bearish momentum. In multi-timeframe (MTF) analysis, 14 strong levels were identified across 1D/3D/1W timeframes: 2 supports/4 resistances on 1D, 1 support/3 resistances on 3D, and 3 supports/3 resistances balance on 1W. Key supports at $0.9253 (strength score 64/100) and $0.8570 (62/100); resistances at $0.9498 (81/100), $0.9867 (79/100), $1.1036 (63/100). This setup offers traders both risk and opportunity; breakout direction depends on volume and BTC movement.

Scenario 1: Upside Scenario

How Does This Scenario Occur?

For the upside scenario, the $0.9498 resistance (81/100 strength) must first be broken on a daily close with increasing volume. Once surpassed, momentum increase is expected; confirmation comes if RSI rises above 50 and shows positive divergence. The next step is testing $0.9867 and Supertrend’s $1.03 resistance: short-term trend change is confirmed by crossing EMA20. Drawing strength from 1W supports (holding above $0.8570), a move toward $1.1036 could follow. A 20%+ volume increase and MACD line crossing above zero act as triggers. This scenario is realistic with overall market recovery (BTC stability); invalidation level is a close below $0.9253 (approx. 1.5% risk).

Target Levels

First target $0.9867 (5% upside), then $1.1036 (17%), main target $1.1706 (strength score 25/100, 25% return). Risk/reward ratio around 1:4 from current price; protected with $0.9253 stop-loss. 1W timeframe Fibonacci extensions support these targets.

Scenario 2: Downside Scenario

Risk Factors

The downside scenario is triggered by rejection at $0.9498 resistance and a close below $0.9253 support (64/100 strength). MACD bearish histogram expansion and RSI dropping below 40 increase momentum. Volume spike (selling pressure) and return to EMA20 are risk factors; it accelerates if Supertrend remains bearish. MTF shows 1D/3D resistance weight (7 resistances vs 4 supports) supporting downside. BTC weakness (detailed below) could pressure alts. Invalidation: close above $0.9498 (1% risk).

Protection Levels

First protection $0.9253 (1.5% downside), then $0.8570 (9%), main target $0.6918 (strength score 22/100, 26% drop). Risk/reward 1:3-4; protected with $0.9498 invalidation. 3D timeframe supports highlight these levels.

Which Scenario to Watch?

Key triggers: volume increase (>$2M) and closes. For upside, bullish candle patterns (hammer, engulfing) on $0.9498/0.9867 tests; for downside, bearish continuation below $0.9253 (shooting star). RSI divergence (price makes no new lows while RSI higher) signals reversal. BTC correlation is critical; dominance increase is bearish, stability creates bullish bias. Monitor levels on daily/4H charts, news flow (NEXO platform updates) as additional factor.

Bitcoin Correlation

BTC at $90,039 with 0.50% increase in downtrend; Supertrend bearish, supports at $88,261 / $86,759 / $84,681 critical. Alts like NEXO have high correlation to BTC (0.85+); if BTC fails $88,380 resistance, pressure on alts increases, accelerating $0.9253 break. Conversely, BTC rising to $90,924 strengthens NEXO upside scenario. Monitor BTC dominance: increase weakens alts. Key BTC levels: support breaks bearish for NEXO, resistance tests bullish catalyst.

Conclusion and Monitoring Notes

NEXO around $0.94 is a decision point; both scenarios will be confirmed by volume and BTC. Watchlist: $0.9498/$0.9253 closes, RSI/MACD divergence, volume >$2M, BTC $88k-$91k range. Traders focus on risk management, plan trades with MTF levels. For detailed data, visit NEXO Spot Analysis and NEXO Futures Analysis pages. This analysis is for educational purposes to understand probabilities.