With its recent breakout from the bullish flag pattern, Render [RNDR] has attracted considerable market attention, pushing its price to $8.14, representing an 8.71% increase at the current moment.
The surge in price followed the token’s achievement of a $4 billion market cap, sparking interest among investors and traders.
As RNDR approaches the key resistance level of $10 with a potential target of $14, the next price action could have substantial consequences for its future trajectory.
The question that arises now is whether Render can sustain its upward momentum or if a price correction is on the horizon.
Factors Impacting Price Movement
The bullish breakout of Render indicates a growing investor confidence in the token.
Breaking out from the bullish flag pattern has set the stage for a probable push towards the $10 resistance level, a crucial barrier that could dictate its future price trends.
If RNDR successfully breaches this resistance level, traders might set their sights on $14 as the next price target, marking a potential 70% increase from the current position.
Furthermore, RNDR’s recent $4 billion market cap reflects an escalating interest in Render’s ecosystem, a significant development that tends to attract more investors and establish a robust foundation for further price appreciation.
Examining Render’s technical indicators provides additional insights into its price behavior. At the moment, the Relative Strength Index (RSI) stands at 59.28, portraying the token’s bullish territory while inching closer to overbought conditions. As a result, there is a heightened risk of a price correction as RNDR nears overbought levels.
Analyzing Data Signals
RNDR’s network activity also displays positive indications. The daily active addresses have increased to 894 from the previous day’s 609.
This upsurge suggests a rise in user engagement with the network, hinting at growing demand and providing additional support for the ongoing price rally.
Elevated network activity typically translates to increased transaction volumes, further boosting the bullish momentum.
Market Dynamics and Liquidations Scenario
Upon examining Render’s market dynamics, it is evident that both long and short traders are experiencing pressure. Short liquidations stand at $114.76K, with long liquidations recorded at $53.85K.
The higher volume of short liquidations implies mounting losses for traders betting against RNDR, which could potentially fuel additional upward price movements.
Consequently, short-sellers may be compelled to close their positions, contributing to the overall bullish sentiment.
Outcome Forecast: Is $14 Attainable for RNDR?
Render’s recent breakout, combined with the uptick in active addresses and positive market sentiment, paints a favorable picture for the token.
Nevertheless, the RSI nearing overbought levels and the critical resistance at $10 might pose challenges to its momentum. Should Render successfully surpass the $10 hurdle, achieving $14 seems well within its grasp.