Key Insights:
- Given the current market sentiment, TRUMP crypto could drop to the $8.75 level in the coming days.
- On-chain metrics reveal that exchanges have witnessed an outflow of $2.09 million worth of TRUMP crypto.
Following the ceasefire announcement by the U.S. President, the TRUMP crypto soared significantly. However, it has now formed a bearish pattern, hinting at a potential price drop in the coming days.
While TRUMP announced an Israel-Iran ceasefire, an Iranian official stated that the development occurred without any agreement, which raises a red flag for the overall financial market.
Market Sentiment and Current Price Momentum
According to the daily chart, TRUMP crypto, the native token of The Official Trump, recently recorded an impressive 15% gain and broke out of a bearish descending trendline. However, it failed to sustain the move and has formed a Doji candlestick pattern.
The formation of this Doji occurred at a key resistance level of $9.55, suggesting that the meme coin may be preparing for downside momentum. As of now, TRUMP crypto appears to be struggling to gain traction.
At press time, TRUMP crypto was trading near $9.04, having recorded a price drop of 2.10% in the past 24 hours. Amid this notable volatility, participation from traders and investors declined sharply, resulting in a 50% drop in trading volume.
This decrease in volume during the price drop suggests weak downside momentum, which could shift if buyers or bulls return to support the meme coin.
TRUMP Crypto Price Action and Technical Analysis
According to expert technical analysis, TRUMP crypto appears bearish and is poised for downside momentum.
As per the daily chart, the meme coin has formed a Doji at the resistance level and now seems to be forming another red candle. This candlestick formation suggests the development of a bearish Evening Star pattern.
TRUMP Price Prediction
Based on recent price action and historical patterns, if the current momentum remains unchanged and the price continues to fall, failing to hold its key support level of $8.74 and closing a daily candle below it, there is a strong possibility that TRUMP crypto could drop by 17% and may reach the $7.30 level in the coming days.
If the price sustains and TRUMP crypto holds above the $8.74 level, it could remain sideways or potentially see upside momentum if market sentiment shifts.
At press time, the asset is trading below the 50-day Exponential Moving Average (EMA) on the daily time frame, indicating that it is currently in a downtrend. This level often acts as dynamic resistance, and unless the price breaks above it with strong volume, further downside movement or consolidation can be expected.
Whereas, TRUMP’s Relative Strength Index (RSI) stands at 35, indicating that the asset is approaching the oversold territory. This suggests that selling pressure has been strong, but it could also signal a potential buying opportunity, as it also leads to a price reversal. However, continued weakness below this level may lead to further downside before any meaningful recovery takes place.
$2 Million Worth of TRUMP Outflow
Looking at the current market structure, it appears that investors and long-term holders are taking advantage of the price dip and are accumulating TRUMP coins, as reported by the on-chain analytics firm Coinglass.
Data from the spot inflow/outflow reveals that exchanges across the crypto landscape have witnessed an outflow of $2.09 million worth of TRUMP crypto in the past 24 hours.
This substantial outflow from exchanges suggests potential accumulation by investors and may reduce selling pressure if it continues.
