Key Takeaways:
- On Friday, SUKU price rebuffed the wider crypto market crash to register a 129% jump.
- The rally comes amidst a crypto market crash that wiped over $190 billion in the last 24 hours.
NEW DELHI (CoinChapter.com) — SUKU has had a very different day than its rivals across the crypto market.
The supply chain token opened Friday — UTC-wise — at $0.44. However, as trading progressed, its price jumped by more than 129% to reach an intraday high of $0.957 before paring due to profit-taking. The SUKU token’s two-month-long downtrend had pushed prices down to levels last seen in late Aug.
With Friday’s soaring rally, SUKU prices have gained 164% in under two days. The Defi protocol’s token price jumped 18.45% intraday on Jan 20, leading it to challenge an eleven-week long descending trendline resistance. Afterward, SUKU broke above the descending resistance line on Jan 21, marking its largest single-day jump ever.
Immediate resistance for SUKU is at $0.848. However, if the Defi platform continues to defy the wider crypto market, it could move above the said price ceiling to challenge the coveted $1-level. Moreover, a sustained bullish rally could see prices pushing past the $1-mark to challenge $1.32 before pullbacks occur.
Meanwhile, momentum oscillator MACD charted a bullish crossover for the SUKU platform on Jan 19. To recap, a bullish crossover occurs when the MACD line (difference between 12-day and 26-day EMA) moves above the MACD signal line (9-day EMA of MACD).
A bullish crossover indicates the end of bearish momentum for an asset. Furthermore, bars on the MACD histogram are expanding, suggesting strong bullish momentum for the SUKU token.
SUKU: Trend Reversal Likely?
While SUKU’s recent rally diverges from the crypto market’s broader trend, some indicators predict a trend reversal in the cards for the token. The Defi platform token’s relative strength index is in overbought levels, clocking a value of 71.33 on the daily charts.
An overbought RSI often forecasts upcoming trend reversal for an asset. If the rally breaks down, SUKU could seek support near its 100-day MA line at $0.655. A marketwide sell-off could see the token fall to support near its 200-day MA line at $0.57 before recovering.
SUKU’s 50-day MA line forms support for the token at $0.5.
Bulls would hope to arrest SUKU’s downside movement before it moves below the Nov-Jan descending resistance trendline.
SUKU is an ecosystem of blockchain-based web 3.0 solutions that help brands and creators engage directly with their audience across the physical and virtual (Metaverse) world. SUKU also offered Defi-based lending solutions.
Crypto Market Crashes
Bitcoin (BTC) and other major cryptocurrencies, including Ethereum (ETH), Binance Coin (BNB), Cardano (ADA), and Solana (SOL), saw their prices plummet as the overall crypto market saw its market cap go down by more than $190 billion in the last 24 hours.
The crypto market is down by nearly 14%, falling from Jan 20’s high of $2.036 trillion to a low of $1.754 trillion on Jan 21. Bitcoin, the largest cryptocurrency by market cap, is down 8.77% on Friday, moving below the $38,000 price level for the first time since Aug 4, before consolidating above $38,000 later in the day.
Ethereum, the prime altcoin, fell below $3,000, a key psychological price level and one last seen around late Sept. Other cryptos charted similar price action, with Solana down 14% in the last 24 hours.
The sudden sell-off likely follows the global stock market crash, as investors prepare for the reality of a more hawkish Federal Reserve and higher interest rates. In addition, the Fed is likely to wind down its pandemic-era stimulus, further spooking investors.
The record-breaking US inflation rates have forced the central bank’s arm, forcing it to act sooner and more severely than the market had earlier anticipated.
At the time of writing, SUKU was trading at $0.826, up 89.33% on the day.
