SushiSwap's native token, SUSHI, has recently delivered an impressive 105% increase in profits over the last 30 days, igniting discussions among investors about its future trajectory. The token reclaimed the $1.15 mark earlier in November before a slight retracement to below $0.92. This price movement has led to speculation about potential future gains, particularly as SUSHI recently surpassed the $1 threshold.
Over the past week, SUSHI has oscillated between $1 and $0.90, leading investors to ponder their next moves. Should they secure profits now, or hold in anticipation of further gains? This uptrend aligns with a broader positive sentiment in the crypto market, mirroring trends seen in similar tokens like PancakeSwap (CAKE) and Uniswap (UNI).
However, the current consolidation phase in the crypto market has signaled a possible shift, with an increase in Exchange Deposit transactions for SUSHI, suggesting that many investors might be preparing to sell. Historical trends indicate that such patterns often lead to a drop in SUSHI's price, as witnessed around mid-2022 and early November.
The spot market data reveals a predominance of sell orders for SUSHI, currently outnumbering buy orders. This imbalance, if it leads to a race to sell at lower prices, could result in a further retraction in SUSHI's price.
Despite the recent substantial gains, the increasing number of sell orders and Exchange Deposits point to a potential price correction. If the current buy-wall at $1.00 fails to hold, SUSHI could experience a larger retracement, possibly falling below $0.90.
Conversely, if the market sentiment remains bullish, SUSHI could potentially surge towards the $2 mark. However, it may face resistance around $1.35, where a significant number of sell orders are poised. Overcoming this resistance could pave the way for further upward movement in SUSHI’s price.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
