During the past 24 hours, The Sandbox (SAND), a prominent digital asset in the metaverse realm, has made a remarkable impact in the cryptocurrency market by soaring 53.39%, reaching $0.6112. Trading volume has surged by an astounding 557.67% to $1.87 billion, while its market capitalization currently sits at $1.46 billion.
As of the latest update, SAND seems poised for additional growth, prompting the question: Can this metaverse token maintain its momentum and spearhead a market recovery?
SAND breaks the trend of decline
SAND has broken away from its prolonged downtrend, signaling the conclusion of a bearish phase lasting months. This breakout has been accompanied by robust bullish momentum, indicated by its present trading price of $0.6323.
Significantly, the price has surpassed the $0.625 resistance level, turning it into a pivotal support zone. As a result, the next noteworthy target is set at $0.807, a movement that could result in an additional gain of 27.75%.
In the event that the token fails to sustain its uptrend, $0.625 will serve as an essential level to monitor. A retracement to this point could enable consolidation before the next upward trend.
From a technical standpoint, the MACD demonstrates a growing bullish momentum, as the MACD line, currently at 0.0530, has surged above the signal line at 0.0284, suggesting an increase in buying activity. The expanding gap highlights the continuation of the upward trend.
Moreover, Bollinger Bands signify heightened volatility, with the price at $0.6323 trading well above the upper band at $0.5015, reflecting considerable buying pressure.
Therefore, with the momentum remaining strong, traders should be prepared for potential price fluctuations near the critical resistance level of $0.807.
On-chain data indicates confidence
Interestingly, on-chain data further reinforces the bullish scenario for SAND. The net network growth has risen by 0.40%, showcasing an increase in adoption.
Simultaneously, 6.18% of addresses are currently in profit, while large transactions have surged by 6.89%, indicating a growing interest from institutional investors. Additionally, a 0.33% rise in concentration levels points towards increasing confidence among major holders.
Heightened open interest as the market takes significant positions
The derivatives market has witnessed a substantial 134.61% surge in open interest, totaling $151.89 million. This rise suggests that traders are actively betting on the sustained bullish momentum of SAND.
Consequently, this spike in speculative activity enhances the probability of a continued upward trajectory.
Conclusion: Is SAND poised to lead the next upsurge?
The breakthrough of SAND above its downtrend, combined with positive on-chain metrics and a surge in open interest, suggests that the token is well-equipped for further advancements.
As long as it maintains levels above $0.625, SAND is likely to aim for $0.807 in the upcoming days. It appears that the metaverse advancement is just commencing, with SAND taking the lead in this journey.