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RUNE Technical Analysis: Bullish Reversal Intents to Break Above $20

source-logo  cryptoknowmics.com 15 November 2021 09:29, UTC

The RUNE coin price brings an amazing pullback entry opportunity as it retraces to the $12 support zone near the 50% Fibonacci level.

RUNE is the native utility token of the THORChain Platform. This is the base currency for the THORChain platform, and it is used for platform governance as well as security. Sybil resistance mechanisms require THORChain nodes to commit a minimum amount of 1,000,000 RUNE in order to be able to participate in the rotating consensus process.

Let us now take a deep look into the technical analysis of THORChain.

Past Performance of RUNE

The RUNE coin prices doubled in the last days of October, resulting in the $12 breakout and reaching the heights of $16.5. However, the supply met near the $16.5 led the prices back to the $12 mark. 

Nonetheless, the strong demand zone supports the price and indicates a bullish reversal. Moreover, the demand zone aligns with the 50% Fibonacci level generating a pullback entry point. 

RUNE/USD Daily Chart

RUNE Technical Analysis

The chances of a bullish reversal are high as the pullback to the 50% Fibonacci level that aligns with the $12 support zone shows lower price rejection. Thus, traders can find low-risk entry spots at current prices. 

However, the bullish reversal can face resistance near the Pivot Points at the $17.8 and $21 mark. And in case of a bear attack, the $12 and $9 marks can support the prices.

Due to the recent pullback, the RSI slope reaches the central mark in the daily chart. However, the recent fall to the $12 zone has considerably more growth potential than the last dip. Thus, traders can observe a bull run in the RUNE coin prices shortly.

The MACD and signal lines maintain a downtrend in the daily chart, however, the lines are slowly approaching each other. Thus, increasing the chances of a bullish crossover. Moreover, the intensity of the bearish histograms is decreasing. Thus, the MACD indicator showcases a loss of bearish momentum.

The crucial EMAs 50, 100, and 200 maintain bullish alignment with the price rising higher above them. Moreover, the 50 days EMA provides constant support to the RUNE coin price.

Upcoming Trend

As per the technical analysis of THORChain, the RUNE coin prices can show a bullish reversal shortly, with the demand found near the $12 mark. Bullish traders can find the primary target of $16.5 and the secondary target of $20 as suitable profit booking spots. 

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