- A bullish pennant pattern and major resistance at $6.75 indicate potential upward momentum.
- On-chain data showed cautious optimism with high NVT signaling strong speculative interest.
Render (RNDR) We are at a critical juncture where we need to break from a long downtrend and capitalize on bullish momentum.
At press time, RNDR was trading at $5.41, up 6.16% from the previous day. This momentum, combined with a bullish pennant formation, could push RNDR above the key resistance level of $6.75.
If successful, RNDR could target the $10-$15 range. But will this rally continue or will resistance remain firm?
Is RNDR ready for a breakthrough?
RNDR has consolidated within a well-defined recent range formed by a descending trendline and horizontal support level near $4.10.
This setup formed a bullish pennant pattern, which is often a precursor to a strong upward move. The $6.75 resistance level acts as an immediate barrier.
A breakout of this level could validate the pattern and set RNDR up for notable gains. The primary target for a successful breakout is $10.89, representing a potential upside of over 100%.
Source: TradingView
Additionally, the recent crossover between the 9-day moving average and the 21-day moving average indicates near-term bullish momentum.
These crossovers often precede upward movements, suggesting that traders may continue to accumulate positions.
The combination of this moving average setup and increased volume strengthens the bullish outlook for RNDR, increasing the likelihood of a breakout if favorable conditions persist.
Fibonacci retracement levels add additional insight into possible price trajectories. The 0.786 level at $6.24 is closely aligned with the important $6.75 resistance, further highlighting its importance.
Therefore, a decisive move beyond this range could push $RNDR towards a higher Fibonacci extension with targets of $8.49, $11.20 and $15.58.
Source: TradingView
Mixed signals but strong trends
On-chain metrics provide a nuanced view. Net network growth showed a modest decline of 0.33%, indicating limited new user activity.
However, the “In the Money” indicator shows that 3.85% of holders are taking profits, suggesting that some investors are taking profits, which may encourage holding in anticipation of further appreciation.
On the other hand, high-value transactions decreased by 4.9%, showing the caution of major shareholders.
So while on-chain data shows mixed sentiment, the overall trend leans slightly more optimistic as holding sentiment improves as more holders find themselves in profitable positions.
Source: IntoTheBlock
The RNDR NVT ratio indicates speculative interest.
Render’s NVT ratio of 2145.55 suggested potential overvaluation relative to trading volume.
However, in a bull market, a high NVT ratio often reflects speculative interest, meaning traders expect prices to rise.
So while a high NVT can signal caution, it can also indicate strong demand as investors look for further profits.
Source: Santiment
In conclusion, Render Token’s technical setup indicates strong potential to break the $6.75 resistance and potentially push RNDR to new highs.
Read Render (RNDR) Price Forecast for 2024-2025
While on-chain signals are mixed, the bullish pennant and recent momentum suggest sustainability towards a medium-term target above $10 if a breakout materializes.
Traders should monitor this level as a decisive move above could confirm the next upward phase for RNDR.