Within the last day, Helium [HNT] experienced an 84% surge in trading volume, leading to a 36.3% increase since Monday, August 26th. The potential for the token to rise by an additional 20% in the upcoming days seems promising.
Bulls appear poised to surpass previous highs set in February, especially due to its strong performance amidst a broader crypto market downturn.
Impressive Bullish Momentum Expected
While Bitcoin [BTC] and the altcoin market dropped by 12.2% and 12.88% respectively since August 26th, Helium’s exceptional trend offered lucrative opportunities for traders.
The On-Balance Volume (OBV) has been steadily rising since late July, indicating sustainable gains for HNT. Additionally, the moving averages are displaying bullish signals.
Breaking past the $6.1 level on higher timeframes was significant. The bounce from $3.43 tested the 78.6% Fibonacci retracement level from the late 2023 rally, suggesting a potential for new local highs.
Helium’s Open Interest Surpasses Previous Peaks
Helium’s Open Interest reached $11.4 million, exceeding the March peak of $10.29 million, reminiscent of levels from January 2023. The combination of high Open Interest and rising prices indicates a bullish market sentiment, prompting traders to go long in anticipation of profits.
A highly active derivatives market could trigger a substantial pullback seeking liquidity, with potential levels around $7.72 or $6.95. However, current indicators do not point towards an imminent downturn.
Disclaimer: The views expressed should not be considered as financial advice, but merely the writer’s perspective.