- Sonic rose 69.89%last week.
- While Sonic experiences a strong bullish momentum, an analyst expects a correction.
Since he reached a low point of $ 0.39 two weeks ago, Sonic [S] has experienced a long -term upward momentum.
At the time of writing, Sonic even acted at $ 0.98. This meant an increase of 25.07% compared to the daily graphs. In the same period, trade volume increased by 58.71% to $ 1.12 billion.
Similarly, the Altcoin has achieved profit on weekly and monthly graphs, with 69.89% and 47.99% respectively.
With the recent price pump, important stakeholders have been left behind. Insofar as the popular crypto analyst Ali Martinez has proposed a potential correction, with reference to TD sequential.
Market sentiment suggests …
In his analysis, Ali Martinez stated that Sonic hit the target of his head and shoulder pattern.
With this realized, the TD sequence has flashed a sales signal on the 4-hour graphs.
Source: X
With this signaling, investors are very likely to turn to profitable, which results in a downward pressure on Sonic as the sales pressure rises.
Based on this analogy, we could see that the sonic prices are starting to fall after sellers enter the market. The question is whether the above analysis can hold on whether buyers will absorb any sales pressure.
What suggest the graphs of Sonic
According to the analysis of Ambcrypto, Sonic still experiences a strong up -up momentum with buyers who dominate the market.
Source: TradingView
The rising MacD line indicates an upward momentum. This suggests that price action reinforces in the short term compared to the long -term price.
With the MACD line above the signal and the histogram, it confirms a strong bullish momentum and signals the potential for the uptrend to continue.
This reinforcement of the upward momentum suggests that buyers are active in the market, which stimulates prices by biological demand. This is confirmed by the rising RSI, which is enriched to 77.
While the RSI is rising, it still has to hit extremely overbough zones where a correction could occur. That is why there is still some room for growth for a substantial decrease.
Source: Coinglass
Looking further, Sonic’s Open Interest (OI) has exposed with 44.26% to achieve a new high point of $ 152.28 million.
When OI rises while prices are also rising, it means that investors are bullish, so that more long positions are opened. That is why new investors continue to enter the market, which reflects a strong demand for S..
Source: Coinalyze
Finally, Sonic’s aggregated financing percentage AVG has remained positive for the past two days. This means that Longs Bullish and are willing to pay a premium allowance to submit their positions.
Sonic still experiences strong bullish sentiments and positions S for more profit on his price charts. That is why the upward trend could continue in the short term.
However, to have these bullish prospects claim, S must remain above $ 0.9. A breakout above will see that the Altcoin is a peak of two months of $ 1.0.
Conversely, if it does not hold these levels, the correction expected by Martinez will take place and can fall to $ 0.844.
