SAND holders could witness a profit-seeking opportunity, only if… – Coin-News24.com

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The November rally bagged in staggering features as SAND attained its ATH on 25 November. However since then, it has been in a retracement part because it depreciated in a descending channel (yellow).

Subsequently, a forceful shut beneath its Level of Management (purple) would place SAND for the take a look at of $2.2-support earlier than the bulls try a rally towards the $2.7-$3.2 vary. At press time, SAND traded at $2.7036, down by 16.5% within the final 24 hours.

SAND Every day Chart

Supply: TradingView, SAND/USDT

Since its ATH, the alt has declined by over 69% and gravitated in direction of its November lows on 24 February. Throughout this part, SAND fell beneath its 200 EMA (inexperienced) for the primary time since July 2021 whereas flipping its eight-month trendline (white, dashed) help to resistance. Traditionally it confirmed a powerful revival from the above trendline, however the latest sell-offs have strongly established a bearish edge.

The downfall led the coin to lose the essential $2.8-mark that reaffirmed the vigor of the present downtrend. In consequence, it now hovered round its four-month Level of Management (POC, purple) on the $2.7-level. Contemplating the general sentiment and the technical indications, additional sell-offs would discover a testing flooring close to the $2.2-zone. 

This zone additionally coincided with the decrease trendline of its long-term down-channel. A possible reversal from this degree would brace SAND for friction between the patrons and sellers at its Level of Management earlier than testing the $3.2-resistance.

Rationale

Supply: TradingView, SAND/USDT

The RSI was getting ready to the oversold mark and undeniably favored the sellers. The 27-30 vary help may sustain the revival hopes alive in direction of the $3.2-level within the days to come back. For the reason that previous month, the value has been marking decrease troughs whereas RSI has been on a slight uptrend. So any revival/inexperienced candlestick would affirm a bullish divergence from right here on.

Like RSI, the OBV confirmed the slight uptrend whereas the value pulled again. However -DI nonetheless appeared north, justifying the near-term bearish actions earlier than a reversal.

Conclusion

Whereas the readings on the RSI and OBV probably trace at stalling the sell-off state of affairs, the patrons nonetheless wanted to step in and ensure these divergences. Retaining in thoughts the present promoting spree, a landing towards $2.2 earlier than a reversal shouldn’t be a shock.  

Moreover, the alt shares an 80% 30-day correlation with the king coin. Thus, maintaining a tally of Bitcoin’s motion can be very important to enhance these technical elements.

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