Connect with us

Market

What Sui Open Interest Increase to $400 Million Means for Its Price

Published

on


Sui (SUI) Open Interest has surpassed $400 million after the altcoin’s price surged back to $2 yesterday. For many investors, the increase in OI, as the Open Interest is commonly called, suggests potential for continued uptrend.

However, recent on-chain analysis suggests that this may not be the case. So, what’s next for the token?

More Liquidity Does Not Guarantee Sui’s Upswing

For those unfamiliar, Open Interest measures the level of speculative activity around a cryptocurrency. When it increases, traders are getting more exposure to an asset and adding more liquidity to contracts related to the asset.

On the other hand, a decreasing OI implies that traders are closing existing positions and taking out their funds. According to Coinalyze, Sui’s Open Interest experienced a sharp drop on October 28.  

However, today, the same metric hit $401.99 million, indicating that traders’ interest in the altcoin has improved. The rise also coincided with SUI’s rebound to $2.10. However, SUI’s price has slightly decreased from this peak in the last 24 hours.

Read more: Everything You Need to Know About the Sui Blockchain

Sui open interest rises
Sui Open Interest. Coinalyze

From a price perspective, a rising OI and increasing price strengthens the uptrend. In this case, Sui’s Open Interest might not be able to support the uptrend due to the recent retracement, which has made the upswing weak.  

Furthermore, a look at the Funding Rate shows that it has turned negative. The Funding Rate measures the market’s overall sentiment. A high positive rate suggests a bullish outlook, where traders are willing to pay a premium to hold long positions.

A negative one, like in SUI’s case, indicates that more traders are willing to pay a premium to hold short positions. When combined with the price action, this position is potentially bearish for SUI.

Sui funding rate bearish
Sui Funding Rate. Source: Santiment

SUI Price Prediction: Extended Downturn Ahead

On the daily chart, BeInCrypto observed that the Balance of Power (BoP) had turned downwards. The BoP indicator gauges buying and selling pressure by examining the strength of price movements. 

Crossovers of the zero line in the BOP can serve as signals for potential buying strength. However, for SUI, the indicator dropped to -0.70, suggesting that bears are in control. If this remains the same, then SUI’s price might drop to $1.64 in the short term. 

Read more: A Guide to the 10 Best Sui (SUI) Wallets in 2024

Sui price analysis
Sui Daily Price Analysis. Source: TradingView

On the other hand, if the price bounces off the $1.64 support and Sui’s Open Interest continues to increase, then the prediction might not come to pass. Should this be the case, SUI might climb to $2.37.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Market

Hidden Altcoins Gems For December

Published

on


November was marked by Bitcoin reaching a new all-time high, with other coins like Solana and SUI following its lead. Although the altcoins season may not be here yet, as BTC continues to dominate the charts, projects like Virtual Protocol (VIRTUAL), Pyth Network (PYTH), and Raydium (RAY) are showcasing impressive growth.

VIRTUAL has surged 71.29% in the last seven days, driven by the narrative about artificial intelligence coins. Meanwhile, PYTH and RAY are capitalizing on ecosystem dominance and utility, with both tokens gaining significant traction and highlighting the expanding potential of DeFi and blockchain technology.

Virtual Protocol (VIRTUAL)

Recently achieving a new all-time high, VIRTUAL broke past the $1 billion market cap and solidified its position as a rising star in the artificial intelligence altcoins narrative.

VIRTUAL Price Analysis
VIRTUAL Price Analysis. Source: TradingView

The coin has surged 161.75% in the past month, driven by growing interest in AI-focused blockchain projects. As the AI coin narrative continues to gain traction, VIRTUAL’s momentum suggests there could still be significant upside potential.

This recent surge has propelled VIRTUAL to become the fifth-largest AI coin by market cap. It now ranks behind RENDER, TAO, FET, and WLD while surpassing AKT.

Pyth Network (PYTH)

Pyth (PYTH), the native token of Pyth Network, has risen 27.14% over the past 30 days, reflecting renewed interest in the blockchain oracle for market data. While PYTH reached an all-time high of $1.15 on March 16, 2024, its price remains roughly 60% below that level.

PYTH Price Analysis
PYTH Price Analysis. Source: TradingView

The network’s TVL has grown to $520 million from $408 million last month. That shows progress but is still far below its record $1.37 billion in March.

If PYTH maintains its current momentum, it could break through the $0.49 resistance and test $0.55 or even $0.60 in the near term. Its oracle business could also be positively impacted by altcoins season.

Raydium (RAY)

Raydium (RAY) has emerged as the most dominant decentralized exchange globally, surpassing platforms like Uniswap and PancakeSwap in fees generated.

Over the past 30 days, Raydium has brought in over $200 million in fees, outperforming major projects like Jito, Solana, Ethereum, Circle, and Uniswap, second only to Tether. Raydium could continue growing as meme coins become more relevant in the crypto ecosystem.

RAY Price Analysis
RAY Price Analysis. Source: TradingView

RAY is currently up 61.40% in the past month and an astounding 1,345.81% in the past year, though it remains 67.87% below its all-time high from 2021.

Given Raydium’s dominance and rapid growth, the token’s recent performance could signal the beginning of an even stronger upward trajectory as altcoins season is just getting started.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



Source link

Continue Reading

Market

Can Shiba Inu Coin Holders Push SHIB Price Higher?

Published

on


Shiba Inu (SHIB) coin holders, instrumental in the meme coin’s recent recovery, are driving the potential for another rally. Over the past three days, a significant number of SHIB tokens have been moved off exchanges, signaling strong activity.

With this in place, SHIB’s price might climb above $0.000025. But do other metrics align with the bias?

Shiba Inu Investors Continue to HODL

On November 23, Glassnode data showed an increase in the number of SHIB tokens on exchanges. Interestingly, this coincided with the token’s price drop to $0.000024. However, over the last three days, Shiba Inu coin holders have taken a cumulative 5.45 trillion tokens off exchanges.

At the cryptocurrency’s current price, this is worth about $162 million. Typically, when more tokens enter exchanges, it means that most holders are willing to sell, which could negatively affect the price.

Since most Shiba Inu coin holders move their assets off these platforms, they do not plan to let go in the short term. If sustained, then SHIB’s price could climb higher soon.

SHIB on exchanges
Shiba Inu Exchange Net Position Change. Source: Glassnode

Besides that, data from IntoTheBlock shows that several short-term SHIB holders have refrained from selling the token within the last 30 days. This data is according to the Balance by Time Held.

When the metric increases, it implies that most holders still have a chunk of the asset in their possession. On the other hand, a decline implies that most are selling, which is bearish for the cryptocurrency. 

Therefore, if these short-term Shiba Inu holders maintain their position, then the token’s value might not experience a significant drawdown.

Shiba Inu holders activity
Shiba Inu Balance By Time Held. Source: IntoTheBlock

SHIB Price Prediction: Token Forms Bull Flag

On the daily chart, SHIB’s price has formed a bull flag on the daily chart. A “bull flag” is a technical chart pattern that indicates a potential continuation of an uptrend. It begins with a sharp price surge (the “flagpole”) followed by a brief consolidation in a tight range (the “flag”). 

This pattern resembles a flag on a pole and suggests that once the consolidation phase ends, the price is likely to break out. As seen below, SHIB’s price seems to be following this pattern. Thus, if buying pressure increases, the token’s value could surge to $0.000030.

SHIB price analysis
Shiba Inu Daily Analysis. Source: TradingView

In a highly bullish scenario, the crypto’s value could rise to $0.000032. On the flip side, if Shiba Inu coin holders decided to move more tokens into exchanges, this trend might change. Should that be the case, the meme coin could drop to $0.000020.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



Source link

Continue Reading

Market

Is BONK Rally In Jeopardy? Technical Indicators Confirm Weakness

Published

on



Este artículo también está disponible en español.

BONK is facing mounting bearish pressure as technical indicators signal growing weakness in the market. After a brief attempt to stabilize, the token appears to be losing momentum dropping again toward the $0.00004002 for another test, with key metrics pointing to further downside. As BONK navigates these challenging conditions, speculations are on whether the meme coin can reclaim its footing or if deeper losses are inevitable. 

This analysis dives into BONK’s current market performance under bearish conditions, highlighting the technical indicators that signal potential weakness. Furthermore, we will assess the likelihood of a recovery or a continuation of BONK’s downward trajectory by analyzing critical support levels, market trends, and the broader outlook, 

Technical Indicators Signal Growing Weakness For BONK

On the 4-hour chart, BONK exhibits negative sentiment, trading below the 100-day Simple Moving Average (SMA) as it trends downward toward the $0.00004002 support level. A continued descent to this support suggests that selling pressure is intensifying, and if the support fails to hold, the asset could experience more declines.

BONK
BONK drops below the 100-day SMA and targeting $0.00004002 support | Source: BONKUSDT on Tradingview.com

Also, an analysis of the 4-hour chart reveals that the Relative Strength Index (RSI) has now declined to the 44% level following a previous attempt to rally, which peaked at 49% before losing strength. A declining RSI, particularly as it remains below the neutral 50% level, indicates that bearish momentum is building. If the RSI continues to dip, it could further validate the downtrend, potentially leading to more significant price drops as selling pressure intensifies.

Related Reading

On the daily chart, the meme coin displays notable downward movement, highlighted by a bearish candlestick with a strong rejection wick that has emerged after a failed recovery attempt. The inability to sustain an upside direction implies a lack of buyer confidence and a prevailing negative sentiment in the market. As BONK aims at the $0.00004002 support level, the pressure from sellers could intensify, raising concerns about the possibility of a breakdown.

BONK
BONK faces extended pullback after a failed recovery attempt | Source: BONKUSDT on Tradingview.com

Finally, the 1-day RSI shows increasing negative pressure on the cryptocurrency, with the signal line dropping sharply from the overbought zone to 56%. This decline marks a shift in momentum, indicating that buying strength is weakening and selling pressure is rising. Should the RSI continue to fall, it could signal sustained pessimistic sentiment and declines for BONK.

Bounce Back Or Further Decline?

Two potential scenarios are likely as BONK faces bearish pressure: a bounce back or further decline. If the meme coin can hold the critical $0.00004002 support level and attract renewed buying interest, it could spark a recovery, possibly reversing the current downtrend and pushing the price to the $0.00006247 resistance range and beyond.

Related Reading

However, if selling pressure persists and BONK fails to sustain the $0.00004002 support level, a deeper decline may follow, with the price potentially dropping to lower support zones, including $0.00002962, $0.00002320, and below.

BONK
BONK trading at $0.000042 on the 1D chart | Source: BONKUSDT on Tradingview.com

Featured image from X, chart from Tradingview.com



Source link

Continue Reading

Trending

Copyright © 2024 coin2049.io