The Graph witnesses a 28% surge in just one week: Positive momentum likely to continue
Over the past week, The Graph [GRT] token has shown impressive performance, reflecting the overall positive momentum in the cryptocurrency market with significant price increases. The sustainability of these recent gains is yet to be determined by market forces.
While the short-term outlook has been bullish, the long-term trend has remained bearish. Sellers have dominated the market since June, and it remains to be seen if the bulls have the capacity to initiate a substantial recovery.
The Graph poised to surpass previous highs from August
During the recent period, The Graph token demonstrated strong performance, approaching the local resistance level at $0.18. The Relative Strength Index (RSI) stood at 65 and has been steadily increasing since the beginning of September.
This upward movement indicates a growing bullish momentum. Moreover, the Chaikin Money Flow (CMF) has climbed from -0.05 to +0.31, a level not observed on the indicator since February.
This suggests a significant influx of capital into the GRT market, potentially supporting bullish endeavors to breach the $0.18 resistance.
While the simple moving averages reflect the prevailing downtrend, with the 50-day moving average still below the 100-day moving average, a sustained upward trajectory is necessary to break the downward trend.
Encouraging signs from minimal selling during a slight price dip
Throughout the past week, both the price and Open Interest of The Graph token have experienced considerable upticks, signaling a bullish sentiment among speculators looking to capitalize on GRT. This trend mirrors the broader market sentiment following the resurgence of Bitcoin.
Although other assets have exhibited a sideways movement in spot Combined Volume Delta (CVD), indicating a lack of spot demand support for the rally, The Graph token has witnessed notable demand and limited selling pressure. Additionally, the positive funding rate further supports this bullish sentiment.
Disclaimer: The opinions expressed in this article do not constitute financial, investment, or trading advice and solely represent the author’s perspective.