A 15%-20% retracement for Mog Coin might not be a buying opportunity but an early sign of buyer exhaustion.
- Mog Coin has rapidly made up for its two-month retracement phase and then some. A short-term consolidation before the next leg higher is likely.
Mog Coin [MOG] was in the middle of another nearly vertical rally. This one rivaled the late February’s 857% rally that took 12 days. The current Mog Coin trend saw a more modest 292% move higher over the past two weeks.
The Mog Coin price prediction is strongly bullish even though there is the possibility of a 15-20% retracement from current market prices.
With a market capitalization of $555 million only, it might have more room to expand higher given the bullish intent seen on the price action chart.
The former highs might not be retested as support
Source: MOG/USDT on TradingView
The MOG bulls have reason to rejoice. On top of the wild gains of the past two weeks, the meme coin price has also sailed past the local resistance zone that had marked the March rally’s top.
The trading volume was also higher than the past month’s average.
The OBV trended higher and was a sign of intense buying pressure since March. Even though the token retraced deep enough to nearly test the 78.6% Fibonacci retracement level, the OBV did not embark on a downtrend.
The RSI sank below neutral 50 in April but climbed above this level to indicate bullish momentum in mid-May. Since then, the rally has been swift and unstoppable thus far.
The 23.6% extension level has been tested as resistance already.
Since the strength of the breakout past the local resistance zone at $0.00000122 was so great, ideally we should not see a deep pullback.
The momentum and demand should propel prices toward the 61.8% level. A few weeks later, a retracement to the same $0.00000122 support zone might offer an ideal buying opportunity.
The short-term sentiment was losing bullish conviction
Source: Coinglass
The price surge over the past few days came alongside an increase in the Open Interest. The OI almost doubled in the past four days, growing from $9 million on the 24th of May to $17.47 million at press time.
The past 24 hours saw a slight decrease in the Mog Coin price as well as the OI, showing a slight shift in sentiment. However, the Mog Coin price prediction remains firmly bullish.
Some consolidation could recharge the bulls, but a Bitcoin [BTC] drop below $67k might drag the market sentiment down.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
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