The price of Render Network’s native token, RNDR, has spiked by more than 8% today, fueling speculation about the potential for further gains. This rally comes after a prolonged bullish trend, raising questions about the driving forces behind the price surge.
What you'll learn 👉
Technical Analysis Points to Bullish Momentum
According to Crypto Kindie, a crypto analyst, the daily Relative Strength Index (RSI) for RNDR has been hovering around the 30 level for a week, suggesting that a local bottom might be imminent. Historically, whenever the daily RSI taps the 30 zones, a local bottom tends to form, indicating a potential reversal in trend.
Crypto Kindie further highlighted that a bullish divergence on the RSI is still in play, adding to the bullish narrative surrounding RNDR. This divergence occurs when the price makes a lower low while the RSI forms a higher low, signaling potential buying pressure.
Key Support Level Holds Firm
Another factor contributing to RNDR’s bullish rally is the strength of a key support level. Based on price analysis, this support level has successfully held the price on three different occasions in the past, underscoring its robustness.
If the price manages to hold above this critical support level, it could pave the way for a continuation of the current rally. Market participants will be closely monitoring the price action around this support level, as a decisive move above it could potentially trigger further buying interest.
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