PONS consolidates below critical $0.25 level – Bears continue to dominate

Non-custodial token launchpad Pons [$PONS] saw a slight price bounce after the previous week’s sell-off. The total crypto market cap has increased by 0.89% in 24 hours, and $PONS has bounced by the same 0.89%.

Its Open Interest saw a modest 0.84% increase too, but Spot CVD saw a noticeable uptick over the weekend. The positive Funding Rates showed that market participants remained bullishly biased, and the minor price bounce was not actively shorted by the majority.

Here’s what $PONS traders can expect next.

$PONS bounce shows a slowing bearish trend

On the 1-day chart, the $PONS token price has established a range between $0.218 and $0.298. These two levels marked the latest bearish swing move on this timeframe, but a daily session close outside either level has not occurred.

Such a close is needed to either continue the downtrend or signal a change in character and a potential bullish trend shift.

Therefore, long-term investors and swing traders can wait for these conditions to be fulfilled before trading in the market’s next direction.

Alternatively, traders can focus on the short-term range and look for opportunities within it.

Traders’ call to action – Bullish bounce might falter

Looking to buy near the range lows and expecting a mean reversal can be a good idea, but the $PONS demand was weak. The OBV was struggling to push towards local highs, signaling slow buying pressure.

The $0.25-$0.27 supply zone overhead could reject $PONS bulls’ efforts. Traders can maintain a bearish bias for now. An influx of demand and an OBV push past local highs, combined with a breakout above the range, would suggest an uptrend was beginning to take shape.

Final Summary

• Pons’ weekend price action looked hopeful as the altcoin reacted well from the $0.218 local low.
• A lack of demand could spell trouble for the bulls if they are to succeed in shifting the trend bullishly.