Stacks (STX) has surged by 40% since hitting an eight-month low of $1.10 on August 5. The altcoin, currently trading at $1.54, has seen an 8% increase in the last 24 hours. This rise is bolstered by a substantial 31% increase in trading volume, reaching $97 million during the same period.
What’s Driving Stacks’ Surge?
The recent uptick in STX’s trading volume points to heightened interest and confidence among market players. This suggests a strong buying pressure and a bullish sentiment in the market. The token‘s positive weighted sentiment, recorded at 0.585, further confirms this trend. A positive sentiment typically indicates that most mentions and discussions about the asset are favorable. Access NEWSLINKER to get the latest technology news.
How Is the Futures Market Responding?
STX’s price rise has also led to increased activity in the futures market. Data from Coinglass shows that trading volume in the futures and options market surged by 60% in the last 24 hours, reaching $196.19 million. Additionally, open interest saw a 29% increase, indicating that more investors are taking new positions in the market.
Key Insights for Investors
– The current bullish trend is supported by a strong positive sentiment.
– Future market activity has significantly increased, suggesting higher investor confidence.
– The Directional Movement Index (DMI) indicates that bulls are regaining market control.
– The formation of an ascending channel suggests a continued upward trend, with potential targets of $1.70 and $2.10.
– Investors should monitor the channel’s support level, as a break could lead to a price drop to $1.05.
Evaluating these factors can provide valuable insights for making informed investment decisions in STX.
STX Chart Analysis
The recent price increase has set the stage for bulls to reclaim market dominance, as shown by the Directional Movement Index (DMI). On a 12-hour chart, the positive directional indicator (+DMI) has crossed above the negative directional indicator (-DMI), signaling a strong bullish trend. The formation of an ascending channel further reinforces this outlook, suggesting that STX could rise to $1.70 and even $2.10. However, if the trend reverses, the price could fall below the channel’s support to $1.05.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Source: https://en.bitcoinhaber.net/stacks-gains-40-after-decline