The risk of a potential price decline for Solana-based Pippin (PIPPIN) continues to rise, even after a 16% rally in the past 24 hours.
As of April 17, as the broader crypto market continues to struggle, PIPPIN has seen notable gains and reached a key reversal zone where it has still faced selling pressure.
At press time, PIPPIN was trading at $0.0355, up 16.05% in the last 24 hours. It also recorded an intraday high of $0.04273 during the same period.
The notable rise in prices of the asset appears to have attracted significant participation in the market, as evidenced by the trading volume, which surged over 95% to $51.02 million.
PIPPIN Price Action and Key Levels to Watch
The daily chart indicates that PIPPIN was at a decisive level at the time of writing as the price faced strong selling pressure at the $0.04276 level.
A level that has recently turned into resistance after previously serving as support. In fact, the price attempted to breach this level but failed, as observed on April 5.
Based on past performance, if PIPPIN fails to surpass the $0.04276 level again, it is highly likely to repeat history by experiencing a notable decline in the coming days.
However, a potential rally is only possible if PIPPIN clears this key hurdle and closes a daily candle above the $0.04276 level. If this happens, the price could see an increase of over 85% and could reach the $0.075 level.
Currently, the Average Directional Index (ADX), which measures trend strength, stands at 40.89, well above the key threshold of 25, indicating a strong directional trend.
PIPPIN: bullish sentiment among players in the short term
Data from derivatives analytics platform CoinGlass reveals that $0.0338 at the bottom and $0.0382 at the top are two key levels where traders are overleveraged.
At these levels, they built approximately $1.46 million in long positions and $1.05 million in short positions, indicating a strong upward price trend.
Derivatives data further strengthened PIPPIN’s bullish outlook. Data from CoinGlass showed that the Long/Short ratio reached 2.2866, suggesting that traders were heavily tilted towards long positions, reflecting growing confidence in a potential upward move.
However, PIPPIN’s Open Interest (OI) declined by 8.26% to $59.10 million, revealing that some traders are closing their positions, which may signal short-term profit-taking or a potential slowdown in momentum despite the prevailing bullish sentiment.
Final summary
- Despite a 16.05% jump, PIPPIN remains at risk of decline, likely due to its past performance at the $0.04276 level.
- The derived data reveals that short-term investors are betting heavily on rising prices.
