U.Today – The cryptocurrency has recently risen to new incredible heights, and now its RSI (Relative Strength Index) is showing a flattening effect. This pattern is compared to the double top pattern in the regular RSI analysis, where the RSI reaches comparable high levels, twice forming a ceiling of sorts.
Double peaks usually indicate a potential reversal in the general price charts, but in the case of the RSI it may actually emphasize the idea of a continuation of the trend instead of a reversal. The fact that the RSI is currently in the 70-80 range indicates that the stock is overbought but still holding strong. Historically longer bullish periods than sudden declines usually coincide with Bitcoin’s RSI rising above 70. Strong buying momentum is indicated by the fact that it has held this level without facing significant corrections.
Recently, Bitcoin surpassed $75,000, an important psychological and technical barrier and broke above key resistance levels. Bitcoin has been following an upward trend from a price perspective, and the current price action is showing strong support. Bitcoin has a good chance of continuing to gain ground as long as it remains above $70,000. Along with the previous consolidation areas, $69,000 is one of the support levels to watch closely. Fortunately, if Bitcoin maintains its current trend, it could reach $78,000 and above.
The significant volume accompanying this move has further strengthened the bullish sentiment. As just seen, high volume output usually indicates real interest rather than a transient pump. Any variation in volume trends should be viewed by investors as an indication of changing sentiment.
Price ‘s recovering
With prices rising significantly in recent days, Cardano is finally seeing a significant rise in value. ADA showed such strong growth for the first time since February, breaking through several levels of resistance and attracting investors. The spike occurred as bullish sentiment around the stock was reinforced by ADA’s move above the $0.40 mark, which saw it gain nearly 6% on the day.
ADA’s ability to overcome the resistance area of $0.35-$0.36, which has served as a resistance barrier for months, is a major factor driving this rally. ADA was able to test higher levels after breaking this area, and this move has strong support due to increased volume.
Investor confidence is likely to be boosted by the development of the Cardano network and the growing ecosystem. ADA has technically broken above the 50, 100 and 200 day moving averages indicating a possible long-term uptrend. Following recent developments in the macroeconomic outlook, major commodities are gaining momentum, and current price action is consistent with these broader markets. But it’s important to approach this expansion with a healthy dose of optimism.
Although the ADA shows positive indicators, the stock may be approaching the overbought zone as the Relative Strength Index (RSI) has crossed 70. This may result in a brief decline, giving investors an opportunity to consolidate their gains before further potential highs.
ADA may try to test the next key resistance level, located around $0.50, if it cannot maintain support above $0.40 and continue its upward trajectory. A drop below $0.40, however, could trigger a retest of support in the $0.35 range. ADA may finally be in the early stages of a broader recovery, based on Cardano’s price action, which is currently a positive development.
you are back
The psychological barrier of $200 was crossed by Solana (SOL) which, if the momentum continues, could pave the way to an all-time high. A major achievement of the blockchain platform, which has seen an increase in network activity and popularity, especially in the meme industry, this latest milestone has renewed bullish sentiment. The increase in on-chain activity is driving Solana’s current meeting by attracting more users and projects to the platform.
The thriving DeFi ecosystem, where SOL’s fast transactions and affordable payments make it a desirable destination for other networks, also supports this expansion. There is a growing demand for SOL, which supports its price increase as more users interact with NFT applications and tokens on Solana as the platform grows. Technically speaking, holding $200 creates a solid foundation for future upside.
SOL may target its all-time high around $260 if it breaks through the next key resistance level, which is located around $216. Maintaining this price may encourage more buying pressure and help the stock continue its growth. The $200 level currently serves as support.
The strength of this rally is also reflected in the Relative Strength Index (RSI), which remains above the 70 mark, usually indicating strong buying interest. High RSI values, however, should alert investors to any signs of overextension. To keep SOL moving forward, steady volume growth and continued network activity will be essential.
This article was originally published on U.Today
