Graph Token (GRT) Price Analysis: Potential Recovery in Sight
The Graph (GRT) price has recently bounced back from multi-week lows, currently trading at $0.20. However, there are indications that this recovery may be short-lived.
Investor Profit-Taking Signals Bearish Sentiment
The recent surge in GRT price has attracted interest from profit-seeking investors, leading to a potential downturn in the altcoin market. Analysis of active addresses by profitability shows that profitable investors make up 26% of all participants, a sign of bearish sentiment as they may be inclined to sell for profits, putting downward pressure on the price.
Moreover, large wallet holders have been actively selling off their GRT holdings over the past two weeks. Approximately 70 million GRT tokens, valued at $14 million, were sold by The Graph investors as the price climbed, indicating a trend of profit-taking despite the struggle to maintain levels above $0.20.
Price Forecast: Uncertain Recovery Prospects
The current GRT price of $0.20 is testing a crucial resistance level, with attempts to convert it into support ongoing. However, continued sell-offs could jeopardize this support line, potentially leading to a drop to $0.16 and erasing recent gains.
If the rebound from the support line is successful, a recovery towards $0.26 is possible, corresponding to the 23.6% Fibonacci retracement level. A sustained move above this level would invalidate bearish predictions and signal a more positive trend for GRT.
Overall, the price outlook for GRT remains uncertain as profit-taking pressures persist. Keep a close eye on key support and resistance levels for potential trading opportunities.
