- The SushiSwap stochastic was in an oversold position
- Although whale developmental interest and activity has increased, other parameters did not support a price spike
SushiSwap [SUSHI] has been bothering investors for some time now with its negative price action. Data from CoinMarketCap revealed that SUSHI posted 12% negative weekly losses and was trade at $1.18 at press time, with a market cap of over $150 million.
However, investors may soon hear some good news. This can be said because certain market metrics and indicators have revealed the possibility of a trend reversal.
Lily SushiSwap’s [SUSHI] Price prediction 2023-2024
Is a trend reversal inevitable?
by CryptoQuant Data revealed that SUSHIStochastic was in an oversold position. This could be considered a massive bullish indicator.
SUSHI also attracted interest from whales, as it was one of the top 10 tokens purchased from the top 100 Ethereum whales. This too was an optimistic development, as it reflected the whales’ confidence in the token.
JUSTINE: $SUSHI @sushiswap now in the top 10 purchased tokens of the top 100 #ETH whales in the last 24 hours 🐳
We have also $MOH, $QRDO, $QWLA, $aDAI & $BOBA on the list 👀
Whale Ranking: https://t.co/N5qqsCAH8j#SUSHI #whalestats #babywhale #BBW pic.twitter.com/TWNaSe2p5T
– WhaleStats (crypto whale tracking) (@WhaleStats) December 10, 2022
Moreover, according to CryptoMiso chart, SUSHI ranked second in terms of the most active cryptos based on GitHub commits over the past three months. This revealed that the developers were doing their best to further improve the network.
Santiment’s data provided additional hope as several on-chain metrics supported a trend reversal. For example, the Market Value to Realized Value (MVRV) ratio of SUSHI recorded a slight increase. This looked promising for the token.
Otherwise, SUSHIDevelopment activity has also seen a sharp increase. The token has also remained very popular in the crypto industry, as its social volume has increased over the past week.
Should SUSHI investors be worried?
While the above metrics looked optimistic, a few of them indicated that the price slide may continue for some time. SUSHI’s foreign exchange reserve was increasing, which was a bearish signal as it indicated higher selling pressure.
Not only that, but the exchange influx of the token has recorded a spike. SUSHINetwork growth has also declined over the past seven days. This increases the chances of a continued downtrend.
Interestingly, the daily chart for SUSHI suggested that the bears still had the upper hand in the market. The exponential moving average (EMA) ribbon has shown a bearish crossover. Additionally, the Money Flow Index (MFI) has moved further below the neutral level, which may worry investors.