Can the Potential Rally Reach $3.7 Mark?

Since last month THORChain(Rune) price resonating within a parallel channel pattern reflects a steady recovery rally. The altcoin has twice retested the above and bottom trendline, indicating the traders are actively responding to a channel pattern. Can the bullish recovery surpass.3 $ 

 Key points:

• RUNE prices have increased by 5.66 in the past four days
• The RUNE buyers reattempts to breach the descending trendline
• The 24-hour trading volume in the Thorchain coin is $95.$1.3 Million, indicating a 25.7% loss. 

Source-Tradingview

The RUNE price action takes a bullish reversal from the $1.47 mark, crossing above $2 to test the overhead resistance at the $2.41 mark. As a result, the market value increased by 56.3% in late June.

However, the volatile markets over the last few weeks maintained sufficient selling pressure and reflected the formation of channel pattern formation.

The RUNE price action shows the recent bullish cycle within the channel triggered with a morning star pattern at the support trendline. However, the 50-day SMA opposes the bullish growth teasing a reversal from thee dine.

If the buying pressure grows to propel the RUNE prices above the resistance trendline, traders can expect a price jump to the $3.5 supply zone.

On the other hand, a bearish breakout will breach the $2 mark and test the support level at $1.78.

In a nutshell, RUNE price analysis showcases a lack of bullish commitment as the decreased trading volume hits the resistance trendline.

Technical indicator

The MACD indicator shows a gradual increase in buying pressure as the MACD and signal lines maintain a positive alignment. Moreover, the lines may shortly cross into the positive territory as the bullish histograms resurface.

The RSI indicator shows a reversal struggling to sustain above the halfway line indicating a weakness in the underlying bullishness.

• Resistance Levels: $2.5 and $3.4
• Support Levels: $2 and $1.5