POPCAT price analysis: mapping a potential recovery path after a 50% drop

The cryptocurrency market has been wild lately, with unexpected fluctuations.

Popcat (POPCAT) endured a sharp dip from $0.98 on 3 January 2024 to $0.49 lows, surrendering approximately 50% of its value within two weeks.

POPCAT’s price chart displays bearish dominance, with prices down 20% and 52% in the past week and month.

Nevertheless, the cat-themed coin displays trend reversal signs, mirroring the prevailing recovery trends in the digital assets sector.

POPCAT at a key turning point

POPCAT trades at $0.5338 after slight rebounds within the past 24 hours.

Popcat chart by Coinmarketcap

The price places it at a crucial make-or-break region – the $0.55 support barrier.

A closing beyond this foothold might welcome solid uptrends.

POPCAT will likely target $0.82 before reclaiming $0.98 and soaring above the $1 psychological mark.

The current broad market outlook supports such trends, as experts anticipate rallies on Trump’s inauguration optimism.

Popcat’s charts confirm the anticipated price upsurge.

For instance, the Chaikin Money Flow has increased from -0.24 to neutral 0.00 in the past seven days.

Chart by TradingView

That suggests surged cash flowing into the meme token’s ecosystem, indicating investor confidence in POPCAT’s recovery.

The market bias has switched to positive as bearish momentum fades with buyer influx.

The 4H Moving Average Convergence Divergence signals buyer resurgences with a bullish crossover between the MACD and the signal line.

Moreover, the Stochastic Relative Strength index signals a weakening bearish trend.

Meanwhile, overall market developments remain crucial in determining POPCAT’s near-term momentum.

Crypto market outlook

Cryptocurrencies displayed green today as the global crypto market cap increased by 2.60% in the past day to $3.38 trillion.

Bitcoin gained around 2.40% within the past 24 hours to change hands at $97,277.

The upside stance reflects surged optimism as crypto enthusiasts anticipated the most pro-crypto US leadership after Trump’s 20 January inauguration.

The incoming government already boasts crucial players, with Paul Atkins leading the Securities and Exchange Commission and David Sacks as the top cryptocurrency advisor.

These trends will likely boost crypto’s appeal in the financial space, attracting adoption from institutional players.

Experts forecast more institutional inflows in 2025 than last year.

Thus, analysts predict bull runs in the upcoming weeks and months.

Michael van de Poppe expects a swift rebound for Bitcoin to $100K after the latest dip grabbed liquidity at the $91.5K lows.

He cited Trump’s inauguration as the catalyst for the next market rally.

American entrepreneur Tom Lee believes Bitcoin has what it takes to hit the $200K – $250K region by 2025-end.

Furthermore, technical indicators show the prevailing consolidation at $90K – $100K is a vital Launchpad for explosive gains.

Such sentiments bode well with POPCAT’s recovery. However, a sudden bearish wave would see the alt losing the support at $0.55.

That will trigger a 20% decline to $0.43, where buyers can step in.

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