Title: Analyzing the Bullish Momentum of THORChain [RUNE]
As a journalist, I am always on the lookout for market trends and shifts in sentiment. Recently, I observed a short-term shift in sentiment for THORChain [RUNE] following a rejection at $5.38. Despite this, the higher timeframe market structure and the recent breakout past $2 indicate that swing traders could retain their bullish bias.
Decisive Break Above $2
THORChain [RUNE] experienced a surge in trading volume, particularly with bitcoin [BTC], on its market. This decentralized liquidity protocol allows users to swap one asset for another without the need for order books to secure liquidity. As a result, BTC maxis are calling for RUNE to be the sole intermediary for trading BTC, which further enhances the bullish sentiment behind RUNE.
The break above $2 was significant for the bulls, with the capital flow into the altcoin market leading to a surge in RUNE’s price. It established an uptrend after surpassing the $1.94 resistance level, gaining an additional 180% since the breakout. The On-Balance Volume indicator also reflected enormous bullish dominance, with the buying volume propelling RUNE to $5.38 before a slight pullback to $4.82.
Short-term Sentiment Shift
While the short-term sentiment appeared to shift against RUNE after facing rejection at $5.38, the spot CVD trended higher, indicating that demand was still present in the spot market. The funding rate was also highly positive, suggesting that a majority of the market was on the bullish side of the fence.
In conclusion, despite the short-term shift in sentiment, the bullish momentum behind THORChain [RUNE] remains strong, especially after the decisive break above $2. Traders should keep an eye on key support levels and set risk management strategies accordingly to capitalize on potential buying opportunities.
So, is your portfolio green? Check out the THORChain Profit Calculator to see how RUNE’s bullish momentum could impact your profits.
### News source: eng.ambcrypto.com