- Render Bulls challenged the resistance level of $ 4.4, aimed at an outbreak to $ 7.
- The distribution trends and lack of development activity were warning signals.
In one Post on X Last week, user Bitcoinenensus noticed that render [RENDER] was set to climb higher from the $ 3 demand zone.
A recovery of the $ 4.4 could set up a breakout above $ 7 and offer a purchase option, as noted in the attached graph.
The massive retracement in 2024 and 2025 was seen as part of the bullish pennant that the Altcoin has formed. A movement of more than $ 7 would indicate an outbreak along this pennant, making the previous High a target at $ 13.
The resistance level of $ 4.4 was challenged at the time of the press. If it was reversed to support, should traders and investors buy more render?
Warning signals from Render
The development activity behind the decentralized GPU-based provider of rendering solutions was negligible, according to santiment data.
This was a great concern for investors, because it indicated fewer improvements and patches for the network.
The 7-day RSI was at 50, which indicates a bullish momentum shift. The social volume has increased slowly in the past month. However, this was not indicative of a renderrally in itself.
Another sign of worries came from the network value statistics. The average currency age has fallen rapidly over the past three months and was at a level that was last seen in August 2024.
The falling average coin age indicated that older coins were spent or moved, a sign of sales pressure of holders.
The prize Stuiter In the past two weeks, the 90-day MVRV took over zero. This showed that holders had a small profit in the medium term, but also underlined a strong distribution trend.
Together it did not present a purchase signal.
The daily active addresses Metriek has also been in a downward trend since November 2024. The recent price dump did not come alongside an increase in network activity.
That is why there was a good chance that the price bouncer would falter, giving holders the chance to leave their positions.
Technical analysis emphasized the importance of the resistance of $ 4.4.
Nevertheless, the lack of network participation, as well as the distribution phase of the past three months, meant that investors should be careful if they want to offer render.
