Virtual Protocol [VIRTUAL] Continues Bullish Run, Possible Correction Ahead
Top 100 Stocks: VIRTUAL Takes the Lead in Surge; Potential Reasons for potential drop explained
Hey folks, it's time to talk about Virtual Protocol (VIRTUAL)! This bad boy has been showing some serious gains lately, with a whopping 50% surge over the past 24 hours - that's the highest gain in this period, according to CoinMarketCap!
Over the last 90 days, VIRTUAL ranked fifth among the top 100 coins with a 71.16% gain. But here's the deal: our analysis of the Relative Strength Index (RSI) suggests that a corrective phase might be on the horizon.
Now, the RSI is a technical indicator that tells us whether an asset is overbought or oversold. A reading between 50 and 70 indicates a positive zone for the asset, but when it exceeds 70, it suggests the asset might be overvalued and could experience a price drop.
However, don't start panicking just yet! The Money Flow Index (MFI) shows that liquidity is still flowing into the market, which reduces the chances of a sharp decline. In fact, the MFI was 73.77 at press time, confirming that liquidity continues to pump into the market.
But there's more! According to CoinGlass's Liquidation Heatmap, liquidity clusters for VIRTUAL lie between $1.6 and $1.8. These clusters are levels on the chart with unfilled orders that act like magnets, pulling the asset toward them. When the price reaches these clusters, VIRTUAL could bounce back, especially if buying momentum picks up.
Lastly, the resurgence of buying activity is a good sign. On May 8, spot traders unloaded $788,490 worth of VIRTUAL. However, as of press time, traders have now purchased a total of $1.96 million worth of VIRTUAL. Plus, in derivatives, the Funding Rates flipped bullish for the first time since April 8, which reinforces the probability of another upside continuation.
In short, while VIRTUAL might be overbought, let's keep an eye on key support levels and market sentiment. The liquidity inflow and bullish sentiment support a near-term price increase for VIRTUAL. Stay tuned!
- The surge in Virtual Protocol (VIRTUAL) has been significant, with a 50% increase in the past 24 hours, causing some investors to wonder if a correction is ahead.
- According to the Relative Strength Index (RSI), which indicates if an asset is overbought or oversold, VIRTUAL is currently in an overbought zone, with a reading exceeding 70.
- Despite the overbought status, the Money Flow Index (MFI) suggests that liquidity is still flowing into the VIRTUAL market, reducing the likelihood of a sharp decline.
- CoinGlass's Liquidation Heatmap shows that key liquidity clusters for VIRTUAL lie between $1.6 and $1.8, indicating that when the price reaches these levels, it could bounce back due to the unfilled orders at these points.
- In terms of investing, spot traders unloaded $788,490 worth of VIRTUAL on May 8, but as of press time, a total of $1.96 million worth of VIRTUAL has been purchased, suggesting a resurgence of buying activity. Moreover, in derivatives, the Funding Rates have flipped bullish, supporting the possibility of another upside continuation.
