Title: “Stock Faces $5.15 Resistance as Failure Could Result in Drop to $3.88”

Resistance at $5.15 Could Signal Dip to $3.88

The cryptocurrency known as IP has experienced a notable 23.5% surge within the last day. This increase in demand for its native token comes amidst a broader market decline involving Bitcoin [BTC] and other cryptocurrencies.

Notably, trading volume has surged by 133% compared to the previous day, indicating growing interest in the IP token.

However, recent days have seen strong resistance at the $5.1 mark, potentially posing a challenge to bullish movements. There’s a possibility that IP bulls might face resistance at this critical level once again.

Following the token generation event (TGE) just two weeks ago, 25% of the total 1 billion IP tokens are now in circulation. This limited historical data for price action, alongside a gradual token unlock schedule over the year, contributes to the uncertainty surrounding IP’s price movement.

Price Range Analysis

The price range between $3.88 and $5.15 has been significant, with $4.5 serving as a key level offering both support and resistance recently.

Currently, there is upward pressure near the range highs, potentially indicating a bullish momentum. The on-balance volume (OBV) has shown an uptrend, although recent hours saw a slight downturn. Meanwhile, the 2-hour Relative Strength Index (RSI) remains above 60, suggesting strong upward momentum.

A decisive close above $5.26 could signal a shift in market structure, while failure to break this level might lead to a drop towards $4.5 and $3.88.

There are signs pointing towards a potential price decline, including a decrease in spot Cumulative Volume Delta (CVD) reflecting weak demand. The Funding Rate has been hovering near zero, with a slight negative trend at the time of writing.

Open Interest (OI) has plateaued as IP approaches the range highs, indicating a lack of strong bullish sentiment among traders. While this suggests caution, it doesn’t necessarily predict an immediate retracement; rather, it hints that IP may require more consolidation before attempting a sustained uptrend.

Note: The opinions expressed here are personal and do not constitute financial advice or recommendations for trading activities.