- The sentiment and momentum around the MANEKI crypto was bullish.
- The lack of accumulation in recent weeks has the bulls worried.
MANEKI (MANEKI), the memecoin chat attracting on the Solana (SOL) network, saw a 62.15% rally over the last four days. Since October 14, the token is up 32% and counting.
At press time, indicators reflected an upward trend.
However, Bitcoin (BTC) has reached a resistance zone around $66,000. MANEKI bulls also faced the supply zone at $0.00756.
Caution is better than FOMO right now
The daily market structure for MANEKI was bullish. The breakout of $0.054 resistance last weekend saw this former supply zone transform into a demand zone. From there, a large rally ensued on Monday.
The bullish surge of the last two days brought the price to the threshold of the $0.0075 resistance level. On September 27, this level pushed back the MANEKI bulls.
It is possible that a similar scenario could play out again, as the A/D indicator failed to make new highs even though MANEKI was at significant resistance.
This shows that buying pressure was likely not high enough to enable a sustainable rally, despite the bullish momentum of the past few days.
Market expectations are more moderate
Like the price, Open Interest has also approached the highs reached in late September. However, the OI was almost $1 million lower than three weeks ago.
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This suggests that bullish speculators were fewer in number.
The A/D indicator and the OI chart together showed the market’s apprehensions of a sustained rally in MANEKI. Therefore, traders could book profits and prepare for a potential reversal.
Disclaimer: The information presented does not constitute financial, investment, business or other advice and represents the opinion of the author only.