Jupiter [JUP] Price Prediction: Can a 36% Hike be Sustained Amidst Profit-Taking Risks?

Jupiter [JUP] experienced a significant 36.76% surge on Saturday, January 18th. Trading activity over the past 24 hours resulted in gains of 34%, accompanied by a substantial 678% increase in the daily trading volume for Jupiter. This surge indicated a strong bullish momentum for the altcoin.

The market outlook for the altcoin appeared bullish on both daily and 4-hour charts. Nonetheless, there is a possibility of a pullback towards the $1 level. The significant support level was identified at $1.06, which stands approximately 9% below the current market price.

Challenges for JUP Bulls at the $1.15 resistance

Over the course of the last nine months, the bulls have consistently defended the 78.6% retracement level at $0.76. These retracement levels were established based on Jupiter’s rally in March, starting from $0.47 and reaching $1.84.

The positive daily structure provided a favorable outlook, with the RSI comfortably above the neutral 50 mark, signaling a strong upward momentum. This positive momentum was coupled with a surge in demand, as indicated by the OBV surpassing previous highs, showcasing increased buying pressure.

The rising demand and momentum may propel JUP past its current resistance levels at $1.15 and $1.23. In the upcoming weeks, it is conceivable that the previous local highs at $1.44 will once again be tested.

Examining the H4 chart revealed the robust momentum witnessed in recent days. The resistance levels at $0.95 and $0.99 were swiftly surpassed, with minimal retracement as the cryptocurrency’s price surged higher.

Although the momentum on the 4-hour chart appeared overbought, this scenario wasn’t necessarily bearish. However, the recent dip in OBV suggested some profit-taking activities. A potential move towards the support zone between $0.95 to $1 could materialize in the near future, offering a viable buying opportunity.

An observation from the liquidation map indicated a higher cumulative liquidation leverage towards the downside rather than the upside. This observation suggests a probable liquidity hunt and a brief price downturn in the near future. The short-term price targets in the event of a dip would be positioned at $1.11 and $1.06.

Disclaimer: The opinions expressed do not constitute financial, investment, trading, or any other form of advice and are solely reflective of the writer’s perspective