• 26 May, 2024
News

THORChain RUNE Analysis Highlights Major Support Challenges 

THORChain’s native cryptocurrency, RUNE, is currently trading near a critical support level, according to a recent analysis shared by analyst Crypto Busy on X. The significance of this support level is heightened by the current volatility in the broader cryptocurrency market, which could influence the direction RUNE takes in the near future.

Conversely, if Bitcoin’s price stabilizes, there might be an opportunity for RUNE to exhibit a reversal pattern or experience a rebound near the critical 0.786 Fibonacci retracement area or the mentioned support line.

THORChain is a decentralized liquidity protocol enabling users to exchange cryptocurrencies across various networks, such as Bitcoin and Ethereum, while maintaining full control over their assets. This innovative platform supports a seamless swap facility without requiring users to relinquish custody of their digital assets, enhancing security and trust in the process.

The accompanying chart for RUNE against the USDT shows substantial fluctuations over recent months, demonstrating the coin’s high volatility. A notable feature is the descending triangle pattern, typically indicative of forthcoming bearish trends

The Fibonacci retracement, drawn from a recent peak to a trough, pinpoints possible support and resistance levels. Currently, the price is near a crucial Fibonacci level, marking a pivotal moment that could influence RUNE’s future price trajectory.

Key support zones are explicitly identified on the chart, suggesting potential areas where buying pressure could intensify and propel the price upward. On the other hand, the upper boundary of the descending triangle serves as a resistance area. For a bullish trend reversal to be confirmed, RUNE’s price must break through this resistance.

Over the past 24 hours, THORChain’s native token, RUNE, saw a significant drop in value, declining by 8.21%. Priced at $4.61, the digital asset experienced fluctuations throughout the day, ultimately falling from a high of $5.02. 

Trading volumes surged by over 58%, reaching approximately $311 million. Despite the volatility, RUNE’s total market capitalization now stands at around $1.55 billion. The token’s price movement reflects broader trends in the cryptocurrency market, with investors reacting to various economic signals.

RUNE/USD price chart: Tradingview

The technical indicators for the cryptocurrency RUNE reveal notable fluctuations in its price. The Relative Strength Index (RSI) sits at 38.23, indicating a slight bearish momentum without venturing into the oversold territory. The Moving Average Convergence Divergence (MACD) exhibits a bearish crossover, with the signal line overtaking the MACD line, further underscoring the downward trend. 

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