MOVE token has stood out from the overall market performance by registering a remarkable gain of over 12% within a 24-hour period. Currently, MOVE is valued at $0.797, experiencing a substantial 137% surge in trading volume according to CoinMarketCap.
The upward momentum of MOVE has propelled its market capitalization beyond $1.79 billion, elevating this altcoin to the 61st position among cryptocurrencies based on market capitalization.
One catalyst contributing to MOVE’s uptrend was an increase in buying activity as short-term traders looked to secure profits during the bullish run. However, the buying interest seems to have waned on lower timeframes, potentially signaling a shift to a downtrend if selling activity picks up.
Currently, the Relative Strength Index (RSI) stands at 41, bordering on oversold levels. While this could hint at a short-term correction to the upside, it may also indicate that investors who entered the market during the uptrend are beginning to offload their positions.
The bullish trend is still evident as indicated by the green Bollinger Band Trend, despite a rise in selling pressure. Should buyers reemerge, there is a possibility of driving the price towards the critical resistance level of $0.882.
Conversely, if bearish trends persist and buyers remain inactive, MOVE might retreat towards a significant support level at the 1.618 Fibonacci level ($0.57).
Assessment of Derivatives Data
An examination of MOVE cryptocurrency’s derivatives data reveals a notable surge in speculative trading activities that could intensify market volatility.
The open interest for MOVE has risen to $86 million following a modest 1.6% increase over 24 hours. Simultaneously, volumes in the derivatives market have skyrocketed by 96% to reach $2.35 billion.
The heightened price fluctuations have led to a surge in liquidations of both long and short positions, with over $8 million in liquidations occurring within a day.
With a long/short ratio of 0.99 indicating a neutral sentiment in the market, there is a slight inclination towards short positions. This balanced scenario diminishes the risk of sharp movements caused by short or long squeezes, subsequently reducing overall volatility.
MOVE’s Liquidation Heatmap Patterns
An analysis of MOVE’s liquidation heatmap over a 3-day period illustrates how the uptrend triggered a series of short liquidations. These forced liquidations fueled the upward momentum by compelling buying activity.
Conversely, there are liquidation clusters positioned below the current price levels that could drive MOVE downwards. Traders are advised to monitor the $0.65 and $0.67 zones closely.
In the event that MOVE descends to these levels, the closure of long positions could catalyze increased selling pressure, further propelling the downtrend.