SAND could soar by 15% to reach the $0.305 level if it closes a daily candle above the $0.264 level.
- SAND’s Open Interest jumped by 5.6% in the past 24 hours following a bullish breakout. The major liquidation levels were at $0.255 and $0.27, with traders over-leveraged at these levels.
The overall cryptocurrency market is experiencing a notable recovery.
Amid this, the virtual gaming platform The Sandbox [SAND] has broken out of a strong bullish pattern and shifted the sentiment from a downtrend to an uptrend.
SAND technical analysis and key levels
According to AMBCrypto’s technical analysis, SAND appeared bullish at press time as it broke out of a double-bottom price action pattern. The breakout was confirmed by the daily candle closing above the neckline.
Source: TradingView
Based on the recent price performance, if SAND closes a daily candle above $0.264, there is a strong possibility it could soar by 15% to reach the $0.305 level in the coming days.
Additionally, SAND’s Relative Strength Index (RSI) stood at 52.30 at press time, hinting at a potential upside rally ahead.
Despite SAND’s bullish outlooks, the 200 Exponential Moving Average (EMA) indicated a downtrend. When an asset trades below the 200 EMA, traders and investors generally consider it to be in a downtrend, and vice versa.
SAND’s bullish on-chain metrics
SAND’s bullish outlook is further supported by on-chain metrics. According to the on-chain analytics firm Coinglass, SAND’s Long/Short Ratio was 1.03 at press time, indicating bullish market sentiment.
Source: Coinglass
Additionally, its Futures Open Interest jumped by 5.6% in the past 24 hours and 3.91% over the past four hours.
This suggested growing traders’ interest in the SAND token following the breakout of the double-bottom price action pattern.
Major liquidation levels
As of now, the major liquidation levels are at $0.255 on the lower side and $0.27 on the upper side, with traders over-leveraged at these levels, according to Coinglass.
Source: Coinglass
If the market sentiment remains unchanged and the price rises to the $0.27 level, nearly $308,620 worth of short positions will be liquidated.
Conversely, if the sentiment shifts and the price falls to the $0.255 level, approximately $732,960 worth of long positions will be liquidated.
This liquidation data shows, that bulls’ long positions are more than double of bears’ short positions.
Combining all these on-chain metrics with technical analysis, it appears that bulls are currently dominating the asset and have the potential to support SAND in the forthcoming upside rally.
Current price momentum
At press time, SAND is trading near $0.266 and has experienced a price surge of over 5.2% in the past 24 hours.
During the same period, its trading volume declined by 6%, indicating lower participation from traders and investors.
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