Riot Blockchain, Marathon Digital Look Bullish Ahead Of Coinbase IPO
Coinbase is set to debut on the Nasdaq on April 14 and on Monday Riot Blockchain Inc (NASDAQ:RIOT) and Marathon Digital Holdings Inc (NASDAQ:MARA) stocks were trading up on high volume showing investors and traders think the excitement over Coinbase’s public listing will benefit these two crypto mining companies.
The Marathon Chart: Last Tuesday, Marathon reached a new all-time high of $57.75 before falling into a consolidation pattern on the daily chart. Marathon’s stock surged 95% between March 25 and April 5, setting up a pole in a bull flag pattern and the consolidation that has taken place between then and now is within a descending channel that makes up the flag in the pattern.
Marathon stock is trading above both the eight-day exponential moving average (EMA) and the 21-day EMA, which is also bullish. Bulls want to see Marathon’s stock break up above the top trendline of the flag and push over $57.75 to make a new all-time high. Bears want to see the stock continue to trend down in the channel until it loses support at the $45.20 mark.
The Riot Chart: On Monday morning, Riot temporarily broke up out of a symmetrical triangle formation, busting through the descending trendline that had been holding it down since Feb. 19. Riot’s stock is trading above both the eight-day and 21-day EMAs and the eight-day EMA looks about reading to cross above the 21-day EMA, which is bullish. Because Riot is trading right above both EMAs, it's not extended, and if volume comes into the stock, it has room for a move to $59.33 before reaching a resistance level.
Bulls want to see Riot’s stock move and hold above the upper descending trendline of the symmetrical triangle and jump above the upper resistance for a bigger move up to its all-time high of $79.50. Bears want to see the stock break down from the triangle and lose support at $47.42.
MARA and RIOT Price Action: At publication time, Marathon was trading up 5.5% at $51.71 and Riot was trading up 8.8% at $54.
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