Bitcoin analyst and BingX advisor Nebraskangooner has issued a grim forecast for Sushiswap (SUSHI), predicting that the token may plummet to $0.55. Despite an on-balance volume (OBV) bull divergence, Nebraskangooner noted that SUSHI has been unable to gain momentum. He indicated that the “Top Goon X buy approaching alert” points to a potential drop to $0.55, suggesting this could be the optimal risk-reward buying opportunity. However, if SUSHI falls below this price, the token could face even more severe challenges.
Sushiswap, a decentralized exchange (DEX), has recently announced changes to its protocol governance structure. Sushiswap has implemented Sushi Labs, a new council structure set to replace its Decentralized Autonomous Organization (DAO). This decision is part of the exchange’s efforts to address several challenges that have hindered its growth during the current bull cycle.
Will SushiSwap’s $1.17 Be the Make or Break Level?According to a blog post by Sushi, the DAO’s inefficiencies have been a significant barrier, leading to the proposal titled Buru no Shinka in March. This proposal laid the groundwork for the establishment of Sushi Labs, which aims to streamline governance and potentially enhance the platform’s operational efficiency.
Despite the introduction of Sushi Labs, the market response has been less than favorable. Nebraskangooner’s analysis underscores the persistent issues facing SUSHI, noting that the token has failed to gain any steam even with the presence of a bullish OBV divergence. He highlighted that the “Top Goon X buy approaching alert” suggests the price may drop to $0.55, which could represent a significant risk-reward buying opportunity. However, he cautioned that if the price falls below this threshold, the token might face further difficulties.
As of today, SUSHI’s circulating supply stands at 190 million tokens, and price at $0.9833, bringing its market capitalization to $187,418,672. Despite the recent governance changes, the token’s performance remains under pressure, with its price continuing to decline. The decentralized exchange has yet to see the level of growth experienced by other DeFi projects in the current market cycle, possibly due to the previously mentioned governance challenges.
