- Despite widespread fears about the cryptocurrency markets, momentum appeared very bullish.
- Price action on the daily and weekly charts showed that new local highs could be established.
Helium (HNT) has seen a 84% surge in trading volume over the past 24 hours, with the altcoin up 36.3% since Monday, August 26. The token could see another 20% upside in the coming days.
The bulls are likely to push the price past the highs set in February, especially since the rest of the crypto market has performed surprisingly well while suffering from selling pressure.
There is tremendous bullish momentum on the card.
Source: HNT/USDT on TradingView
Since August 26, Bitcoin (BTC) has fallen 12.2%, while the altcoin market has also fallen 12.88%. However, Helium’s reversal has been a refreshing sight, providing trading opportunities for swing and scalp traders.
OBV has been trending upward since late July. The steady buying pressure behind HNT is a sign that the uptrend may continue. The moving averages have also been bullish.
The move above the $6.1 level on the higher time frame chart was decisive. The retracement to $3.43 represented a test of the 78.6% Fibonacci level based on the rally in late 2023. Therefore, the recovery from $3.43 and the price march northward meant that a new local high was likely to be set.
Helium open interest surpasses March high
Source: Coinglass
Helium’s open interest is at $11.4 million, surpassing the March high of $10.29 million. The last time OI was this high was in January 2023. The combination of high open interest and surging prices has the market looking very bullish. By extension, traders are willing to take long positions to profit from this move.
Read Helium(HNT) Price Prediction 2024-25
An overheated derivatives market could lead to a deep pullback as prices seek liquidity. Such a pullback could reach $7.72 or $6.95, but the evidence does not show a near-term price decline.
Disclaimer: The information presented does not constitute financial, investment, trading or any other type of advice and is solely the opinion of the author.