MultiversX is a blockchain platform that specializes in offering scaling solutions. Its EGLD crypto was trading near the confluence of resistance levels between $25 and $30. It has to cross the $30 mark to begin a bullish reversal.
The recent rebound of MultiversX crypto from the $22 mark sparked hope among investors about an upcoming bullish reversal. The technicals have showcased a triple bottom formation and suggest a trend reversal ahead.
However, the MultiversX (EGLD) Price has been trading inside a falling wedge pattern. It exhibited downward pressure for the past few weeks. The triple bottom formation signals a sign of reversal, and EGLD price may see a short-term reversal soon.
Meanwhile, the MultiversX token hovers around the $25 mark and must gain more traction to surpass the descending trendline barrier of $30. The primary concern is a lack of buying interest, resulting in a sideways move.
This week, a three-day bullish streak accompanied by a substantial volume surge of over 32%, resulted in a price surge of over 10%. It signals a bullish trend ahead.
Breaking Down the Latest Price Action EGLD Crypto
At press time, EGLD crypto was trading at $26.88, with an intraday rise of over 7.10%. With a market cap of $736.79 Million, EGLD stands as the 90th largest crypto among the top 100.
CryptoBull, in his recent tweet, said that the MultiversX crypto looks bullish and was getting ready to trigger an upward movement. A close above the $30 mark sparks a 20-25% rise ahead.
#EGLD is getting ready for short term bullish breakout from descending channel + PoC value zone as well. Strong momentum close above the PoC value zone will trigger 20-25% move, Volume looks good – Keep an eye on👀$EGLD #EGLDUSDT pic.twitter.com/gTQlLXQjz2
— CryptoBull_360 (@CryptoBull_360) October 11, 2024
The recent accumulation in the altcoin from the lower levels signifies the demand for EGLD. The EGLD price has crossed the 20-day EMA level and approached the 50-day EMA mark for a crossover.
Source: TradingView
The Relative Strength Index (RSI) line showed a positive crossover, reaching the 52 mark at press time, signaling a rise in buying pressure.
A successful close above the $28 level would validate further bullish strength and could soon retest the $30 breakout level. MutliversX’s Sharpe Ratio, a measure of risk-adjusted returns, guides a positive stance.
The recent rebound from oversold conditions to a positive region hints at the demand at the lower levels and a bullish stance.
Source: Messari
When writing, the Sharpe Ratio value turned positive at 0.96. It could lead to further gains, and buying pressure outweighs selling pressure. The market conditions seem favorable for buying, which could drive the EGLD crypto price higher.
Futures Market Data Signals Bullish Optimism
The futures Open Interest (OI) has surged to $20.94 Million, noting a rise of over 7.80%. A surge in OI indicates rising investor confidence in altcoin’s direction as they open new positions.
Source: Coinglass
Alongside the OI surge, increased demand for long positions was evidenced by a positive OI-weighted funding rate, 0.0098%, at press time. It means investors are projecting further gains and increasingly taking long positions.
The immediate support zones for the EGLD crypto were $23 and $20, whereas the resistance levels were $29 and $32 to monitor for the upcoming sessions.