Synthetix (SNX) Token Reverses Course, Eyes on $2.6 Price Target

Synthetix (SNX) Token Reverses Course, Eyes on $2.6 Price Target

It appears that the cryptocurrency market has lost some of its appeal lately due to its sideways movement. Despite the overall quiet market, SNX, the native cryptocurrency of the derivatives liquidity protocol Synthetix, is starting to attract buyers' attention, and there's a positive buildup.

In the past week, Synthetix's SNX token found support in the $1.9 range and quickly rebounded, surpassing the $2.0 mark. However, it's important to note that the SNX token has recently broken out of a bearish channel in its hourly price chart, potentially giving the bulls an opportunity to drive its trend towards the next resistance level.

Source: Tradingview 

As of the current moment, the Synthetix token paired with USDT is trading at $2.18, marking an impressive overnight gain of 11%. Consequently, the market capitalization has surged to $590 million as of Monday.

On the 4-hour chart, SNX token stands above the previously bearish parallel channel and appears to be heading towards the next resistance zone, approximately in the $2.6 range, in the short-term perspective. However, it's worth noting that Bitcoin is consistently hovering around the $26K level. Any significant breakdown or breakout in BTC could potentially trigger fluctuations in altcoin prices, so it's advisable to closely monitor both Bitcoin and altcoins in the coming days.

Source: Tradingview 

On the daily price scale, buyers have consistently shown increased aggression at specific horizontal support levels, forming a trendline characterized by higher lows. This support trendline serves as an accumulation point, and it's anticipated that buyers may witness a further 15% gain from the current price level.

The technical indicators are indicating a recovery in the Synthetix token (SNX). The RSI stands at the 51 range, signaling improved momentum. Additionally, although the MACD remains in negative territory, it exhibits a bullish crossover, suggesting the token's potential for a turnaround. The ADX also remains elevated during this recovery phase. 

Buyers are setting their sights on the next resistance zone, with the condition that BTC remains stable. 

Also Read: Crypto Optimism: Bitcoin Holds Strong at $26,000 Support Level

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This information is for educational purposes only and does not constitute investment advice. No person should rely on it to make any investment. Investing carries risks, including the loss of capital. All opinions expressed are subject to change without notice. Past performance is not indicative of future results. Always seek the advice of a licensed investment professional before making any investment.