RUNE’s Rollercoaster: Will It Soar or Plummet? 🎢💰

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  • Ah, the elusive $2.93 resistance! Will RUNE‘s rally pause, or will it dance above?
  • Spot and derivatives are like two feuding lovers, each pulling RUNE in different directions.

In a dazzling display of bullish bravado, THORChain [RUNE] has leapt a staggering 15.64% in the last 24 hours, as if the market were a stage and the bulls were the stars of the show. Yet, the question lingers like a bad smell: can this altcoin maintain its impressive 70% gain from the past month, or will it trip over its own feet?

RUNE finds itself in a dramatic tug-of-war between spot traders and retail participants, with a major hurdle looming ahead. What could possibly happen next? Grab your popcorn! 🍿

Major hurdle ahead for RUNE

As the charts whisper sweet nothings, they reveal that RUNE is inching closer to a critical resistance level, currently flirting with $2.93. Resistance levels, those notorious party poopers, are where selling orders gather like uninvited guests.

If RUNE dares to reach this level and the selling momentum kicks in like a caffeine-fueled squirrel, it could tumble down to the $1.768 support level, which might just be the trampoline it needs for a rebound.

But wait! If the bullish momentum decides to stick around like that one friend who never leaves, a clean break above $2.93 could unleash a rally toward $4.14, the last major top before the February sell-off drama unfolded.

However, our dear spot traders seem to be playing the role of the reluctant dance partner, resisting the rally with all their might.

CoinGlass data, like a nosy neighbor, revealed a Net Outflow of $1.68 million on May 22nd, hinting at potential profit-taking or perhaps a bit of hedging behavior. Who knew trading could be so scandalous?

Is this selling activity a mere blip of short-term profit-taking, or does it signal a longer correction? If it’s the latter, RUNE might just find itself in a bit of a pickle.

Can derivatives momentum hold the price?

Interestingly, the derivatives market spins a more optimistic yarn. Key metrics like Open Interest and the Long/Short Ratio are waving their pom-poms, cheering for continued upside.

Open Interest, that sneaky little number tracking unsettled derivative contracts, surged by 18.65% in the past 24 hours to a whopping $86.57 million. While this metric alone doesn’t confirm a bullish or bearish trend, it certainly reflects a bustling market.

Meanwhile, the Long/Short Ratio has climbed to 1.105, suggesting that more traders are betting on further gains. This long-heavy bias could support prices—if spot selling doesn’t crash the party.

Can liquidity clusters offer clarity?

With the spot and derivatives markets sending mixed signals like a confused GPS, AMBCrypto took a gander at the Liquidation Heatmap for some clarity.

The heatmap, a colorful tapestry of unsettled orders (excluding black, because who needs that?), acts as a magnet for price movement.

More liquidity clusters have popped up below the current price, especially near $1.70, suggesting that a downward move could trigger liquidations and fuel a bounce. Talk about a dramatic twist!

If the price decides to take the high road instead, RUNE will face a key resistance at approximately $2.30, aligning with existing chart levels, before possibly taking another nosedive. Buckle up, folks!

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2025-05-23 11:14