Despite the downturn in the overall cryptocurrency market, THORChain’s native token, RUNE, has seen exceptional growth, catching investors off guard.
The token experienced a surge of more than 18% in recent trading sessions, positioning itself as one of the top performers. Currently, the token is being traded at the $6.25 mark.
Furthermore, the daily chart revealed a breakout from a distinctive channel pattern, leading analysts to conjecture that the corrective period might have concluded, potentially heralding the start of a new bullish trend.
The Increased OI Data Says It All!
As market leaders grappled with a wave of selling pressure, RUNE stood out for its exceptional resilience against the dominant market trends.
Indeed, RUNE has done more than merely maintain its position. Over the past week, its value has soared by nearly 26%, indicating strong potential for growth even amid volatile market conditions.
Additionally, the recent uptick in price is bolstered by a substantial increase in Open Interest contracts. The volume of open contracts has escalated from $51 Million to $69 Million in just two sessions, and the count is still rising, hinting at a likely continuation of the current upward trend.
Breakout Of Channel Pattern Creates Room for 80% Growth
The daily chart reveals a breakout from a downward-sloping parallel channel pattern, indicating that the ongoing correction phase may have concluded and a new bullish trend could be emerging.
Should the breakout persist, RUNE is poised for remarkable gains in the forthcoming sessions, with potential to increase by approximately 80% until it encounters a significant resistance at the $10 mark.
However, a close below the $5 threshold could negate the breakout’s validity and potentially attract selling pressure. The technical indicators, when analyzed collectively, suggest a favorable forecast.
Conclusion
In the face of a declining crypto market, THORChain (RUNE) has defied trends with an 18% surge. At the time of writing the crypto was exchanging hands at $6.25. Its week-long 26% gain and rising Open Interest from $51 Million to $69 Million suggest a bullish continuation.
Furthermore, a daily chart breakout hints at the end of a correction and the start of a bullish wave, with an 80% growth potential to a $10 resistance. Yet, falling below $5 could reverse the trend. Overall, technical indicators point to a positive outlook.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
