River (RIVER) is up 25% in 24 hours and is up 11% for the week. Its strong short-term gains saw a massive increase in Open Interest (OI), according to Coinalyze data. OI rose by 42%, indicating that speculators were willing to push the RIVER trend higher.
This speculative interest was not accompanied by strong spot demand, according to the spot CVD indicator. At the same time, the fact that the funding rate is negative indicates that short sales are active.
Technical analysis showed that RIVER could reverse its trend to an uptrend, although short-term indicators are giving warning signals.
Bullish expectations for RIVER
Strong short-term gains and speculative interest do not always translate into a sustainable trend. On this occasion, river bulls They can turn the trend in their favor once again.
High volatility in late January and early February caused RIVER to rise to $88.7 before falling 82% within a week. It eventually dropped to a low of $7.1. But what’s interesting to us right now is the rise to $24.2 during the decline.
This level was exceeded on Wednesday, March 18. This marked a change in bullish structure on the 1-day time frame. Moreover, the previous local resistance at $18.38 was tested as support and held up well.
CMF was at +0.01 but has been above +0.05 in recent days, indicating strong capital inflows. The MACD also turned bullish and climbed above the zero line to signal bullish momentum.
This momentum is likely sustainable. A pullback to $18 or even lower is possible in the coming days.
Should investors buy the dip or wait for a breakout?
On the 2-hour chart, the structure was in a downward direction. Indicators also pointed out that short-term momentum is in favor of sellers and CMF is below -0.05.
This means River traders can expect a deeper price decline in the next few days. The immediate target for a pullback is $15, with a possible drop to $11 in the event of a heavy decline Bitcoin (BTC) sale-off.
At the same time, a move above $28.7 could signal a breakout. Investors should be prepared to buy the breakout and also watch for a bullish reaction at $15 and $17 in case of a price decline.
Final Summary
- River exhibited an upward price structure in the 1-day period.
- Buyers can follow the altcoin. The $28 and $15-17 levels were the most important nearby levels where buyers would look to enter the market.
