Cryptocurrency

Bulls, bears, and their ongoing brawl over a land full of SAND

It has been three weeks since SAND broke out of its wedge sample with the bears able to take over. The token simply concluded one other bearish week by being oversold, earlier than recovering by roughly 38%.

A recap of SAND’s worth motion reveals that it broke under help at $2.69 on 26 April. This was after coming into the slim worth vary dictated by help and resistance in its wedge sample. SAND just lately bottomed out at $0.96 on 12 May. This represents a 58% drawdown ever because it dropped under the help line.

Source: TradingView

At press time, SAND was buying and selling at $1.34 – At a slight premium on its newest native low. The slight rally on 14 and 15 May was underpinned by some accumulation, particularly because the alt dove into oversold territory. The identical could be evidenced by the findings of the RSI and MFI.

1652700419 99 Bulls bears and their ongoing brawl over a land full

Source: TradingView

SAND’s Directional Movement indicator additionally highlighted the cryptocurrency’s sturdy bearish momentum over the previous few days. The -DI crossed under the ADX, signifying pattern weak spot inside the oversold zone.

This consequently meant that the situations have been ripe for the bears to regain management.

Will the bulls retain management or give in to the bears?

The cryptocurrency market remains to be in a state of worry and uncertainty, particularly after current occasions. It may clarify why the present bounce-back just isn’t as sturdy as anticipated, given the magnitude of the newest draw back. In different phrases, traders are nonetheless ready to see how the market will behave over the following few days.

As far as on-chain metrics are involved, SAND’s Supply on Exchanges (as a share of complete provide) has dropped barely since 13 May. This remark additionally aligns with an uptick in whale transaction counts (higher than $100k value of SAND). The identical was a signal of accumulation when SAND dipped into the oversold zone.

1652700419 170 Bulls bears and their ongoing brawl over a land full

Source: Santiment

Its newest worth pump coincided with The Sandbox’s announcement on 13 May. The venture revealed airdrop plans, in addition to a new 2022 roadmap for LAND homeowners in The Sandbox Metaverse.

This announcement might have contributed to SAND’s shopping for strain at its current lows. However, it won’t be sufficient to climate any extra downward strain. The latter stays a extremely possible end result if the crypto-market fails to get well from the prevailing FUD.

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