- STX crypto price reflected a 22.27% surge in price over the last seven days.
- Technical indicators’ summary suggests a bullish signal in the current phase.
- The current price is just 37.42% below the all-time high price of $3.84.
Stacks (STX) uses Bitcoin as an asset to settle transactions on the blockchain. It is a layer that enables smart contracts and decentralized applications (DApps) on the Bitcoin blockchain. STX is a native cryptocurrency of this project that gained much support from investors and traders across the world.
Investors Enter Demand Zone in STX Crypto
Since October 2023, the Stacks crypto price has reflected positive returns for six consecutive months. The price collectively delivered over 600% positive profitability during these months, reflecting strong bullish sentiments. However, the price experienced a significant move in April 2024.
The initial profits booking started, and the price entered the correction period. The price dropped over 40% during April and 15.35% in May 2024. Conversely, the buyers have entered the demand zone near the $1.87 level this month. They are pushing STX price hard in the current sessions.
In terms of market cap, Stacks placed itself amongst the 30 most dominant cryptocurrencies worldwide. It is also outperforming the global cryptocurrency market and similar GMCI 30 index cryptocurrencies. Additionally, the 24-hour trading volume has reached over $284 Million, with an increase of 10.88%.
Technical Analysis of Stacks (STX/USD)
The key exponential moving averages (EMAs) reflects the long-term outlook on the bullish side. STX price has rebounded both the 50-day and 200-day EMAs, indicating the continuation of an uptrend.
STX price has gained a strong bullish reaction near the $1.87 decisional demand zone. This resulted in the breakout of a trendline forming above, and the price reflected an almost 30% bullish upsurge after the breakout. According to the technical market speculations, the current price reflects a bullish reversal for the Stacks price. A bullish view can be expected above the $2.56 immediate resistance level.
Furthermore, the relative strength index (RSI) has shown a bullish divergence with strong momentum. This indicates the buyers are strongly dominating in the current phase. The RSI is moving at 57.32 above the SMA line.
Summary
STX crypto price has been performing with bearish sentiments since early April 2024. The cryptocurrency reflected an over 50% drop rally since then. In recent sessions, strong buying from the $1.87 major demand zone can be seen in the price, resulting in the trendline breakout. The price was $2.28, reflecting a potential bullish reversal according to the technical market speculations.
When writing, the immediate resistance for the STX price was $2.56, while the $1.87 level was the next support. If the price makes past the upper resistance, a rise in price can be expected. Similarly, a drop below the support could lead to a price pullback to the lower levels.
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
