Jupiter’s [JUP] price stagnation prompts questions about future market trends

Following the announcement of a buyback program by Jupiter [JUP], a notable 12.2% price surge occurred on Friday. It is anticipated that this development will further drive demand for JUP and enhance the platform’s utilization.

Despite the price surge on Friday, the short to medium-term price forecast does not appear definitively bullish. In the upcoming weeks, it is likely that the price levels of $1 and $1.3 will present significant challenges for the bullish momentum.

Recommendation for Jupiter Swing Traders: Look for $1 to Transition to a Support Level

Since last July, the price movement of JUP has been concentrated around the bullish order block situated at $0.75 (highlighted in cyan). On the upside, the $1.3 resistance area has consistently acted as a barrier for the JUP bulls.

The Directional Movement Index indicated certain periods of strong trends, but none of these surpassed the extremes defined in the analysis. Trading volumes over the past month have notably exceeded those of the preceding months.

Despite this, the price of JUP has remained within the $0.75-$1.15 range, an area that contains significant Fibonacci retracement levels. The Awesome Oscillator demonstrated a bearish momentum, although beginning to show signs of a bullish shift. Moreover, the DMI did not confirm the presence of a strong ongoing trend at the time of reporting.

An assessment of the 3-month liquidation heatmap revealed that the rapid decline in early February pushed all major liquidity clusters towards the lower end. While a magnetic zone has since formed just below $0.8, it is not an immediate target for the market movement.

A notable observation is the cluster of liquidations around $1.3, indicating that Jupiter bulls might face challenges in breaking out of the price range set over the past six months.

Examination of the 2-week liquidation heatmap highlighted the existence of liquidation levels near the psychological barrier of $1. This zone may attract price action before a potential bearish reversal. With this in mind, swing traders are advised to exercise caution against a possible JUP rejection around the $1 level.

Disclaimer: The views expressed are solely the writer’s opinion and should not be construed as financial, investment, trading, or any other form of advice