Render [RNDR] has been attracting attention due to its recent strong uptrend. The cryptocurrency has seen a substantial increase of more than 32% since it last tested a significant pennant resistance around a fortnight ago.
Now, the current impressive surge faces a crucial challenge at the crucial $8 resistance mark. Can RNDR overcome this obstacle and continue its upward trajectory? Let’s delve into the available data.
RNDR Bulls Target the $8 Resistance Area
The $8 resistance threshold has emerged as a significant focal point for RNDR’s price movements. This level signifies a formidable psychological and technical barrier, having previously prevented the cryptocurrency’s price from progressing on multiple occasions.
Typically, such levels witness heightened selling pressure as traders aim to capitalize on accumulated gains.
Nevertheless, with 65% of RNDR addresses currently showing profits, belief in the token’s bullish prospects remains robust.
Further boosting this positive sentiment is the improving trading volume of the cryptocurrency. Data from IntoTheBlock suggests a gradual recovery in trading activity, indicating renewed interest from market participants.
This surge in trading activity implies that the bulls might possess adequate momentum to confront the $8 barrier.
Optimistic Signals from On-Chain Metrics
Aside from its price performance, RNDR’s on-chain metrics present an encouraging outlook. The number of active addresses and transaction volume of the cryptocurrency have been steadily increasing throughout the rally.
Such developments often signify significant network usage and investor involvement, both integral components for sustaining upward price movement.
Moreover, Render’s recent progress aligns with the broader trend in the cryptocurrency market. The overall market sentiment has turned bullish lately, supported by favorable macroeconomic factors and growing adoption.
If this optimistic market sentiment endures, RNDR could experience further gains.
Can RNDR Overcome the Hurdle?
To surpass the $8 resistance level, continuous buying pressure is essential. An analysis by CryptoCrypto of Coinglass’ liquidation heatmap data shows a positive sentiment among long position holders.
During the most recent dip, approximately 272K worth of RNDR was liquidated at the $6.6 price level, with the subsequent liquidity pool positioned around $8.2. This liquidity pool could potentially drive RNDR’s prices higher.
A decisive breakthrough above $8 could open the path for further price increases, potentially aiming for $9 or beyond in the short term.
On the other hand, the failure to breach this level might lead to a temporary retracement.