SUSHI has soared by 22% following the announcement of the ‘Treasury Diversification Proposal.
- SUSHI crypto could soar by 60% to reach the $4.60 level if it closes a daily candle above $2.82. Per the spot inflow/outflow, exchanges have witnessed $6.82 million of outflow in the past 24 hours.
Sushi [SUSHI], the native token of decentralized exchange SushiSwap, has been making waves with its impressive gain of over 20% in the last 24 hours.
At press time, SUSHI was trading near $2.45 after a price gain of over 23% in the past 24 hours.
During the same period, its trading volume surged by 190%, indicating heightened participation from traders and investors.
SUSHI crypto price momentum
With this notable price movement, SUSHI has broken out from a strong resistance level of $2.10, but faced another resistance at the $2.75 level during press time.
If SUSHI breaches this resistance and closes a daily candle above $2.82, there is a strong possibility it could soar by 60%, reaching the $4.60 level in the coming days.
Source: Trading View
However, following the notable price surge in recent days, there is a high probability that SUSHI could experience a price correction or consolidation before potentially making another explosive move.
In addition, its Relative Strength Index (RSI) was at 78.20, indicating that it was in the overbought zone. When an asset’s RSI moves into the overbought zone, it often tends to face a price correction or decline.
Rising interest from traders and investors
SUSHI’s bullish price action and the recent treasury announcement have attracted attention from whales and institutions, as reported by on-chain analytics firm Coinglass.
Data from SUSHI’s spot inflow/outflow revealed that exchanges have witnessed a significant outflow of $6.82 million in the past 24 hours. In addition to long-term holders, traders have also shown strong interest in the altcoin.
According to Coinglass, SUSHI’s Open Interest has surged by 44.73% in the past 24 hours, signaling the formation of new positions amid the bullish price action.
Source: Coinglass
It appears that bulls are dominating the asset, potentially supporting SUSHI in its upcoming rally.
What is the Treasury Diversification Proposal?
The potential reason for this massive upside momentum is the latest announcement by Jared Grey, the platform’s Head Chef, to reshape the SushiSwap Foundation with the Treasury Diversification Proposal.
This proposal focuses on minimizing volatility, boosting liquidity, and generating passive income.
To implement this plan successfully, Sushi DAO has reallocated its treasury assets into three categories: stablecoins, DeFi tokens, and major cryptocurrencies such as Bitcoin [BTC] and Ethereum [ETH].
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