Sandbox (SAND): What Changed Amid Investors’ Exit Spree Since January

BTC dominance recorded a massive jump earlier this month, climbing to 45.47% on May 19 from 41.5% on May 10. The upsurge meant BTC’s share of the global cryptocurrency market cap saw a remarkable increase, despite Bitcoin price remaining around the $29K level.

That means altcoins lose value quicker than the leading crypto. Meanwhile, long-term investors should remain cautious as far as this metric trend is concerned.

For Sandbox, long-term horizon market players are yet to witness a ‘buy’ opportunity. Moreover, the bias remained highly bearish in this publication. While publishing this blog, SAND changed hands at $1.29, following a 2% decline within the past day.

Sandbox – 12Hr Timeframe

SAND discovered crucial support areas at $4.4, $3.6, and then $2.65 within the previous three months. Meanwhile, the altcoin violated all the footholds, trading around $1.29 at this publication. Meanwhile, the mentioned levels served as massive resistance when Sandbox attempted north action in Oct. and Nov. last year.

Buyers have their next stronghold near the 41 value area, with the charts representing support at $1.08. Nevertheless, several lower lows and lower highs within the past couple of months showed buyers at risk of massive losses if they try to DCA amid steady downtrends. Instead, wise investors would want strength signals from buyers before investing money in any crypto asset.

Reasoning

SAND price formed a concealed bearish divergence with the Relative Strength Index. The price printed lower highs, whereas RSI displayed higher highs. Meanwhile, the bearish divergence confirmed the downtrend continuation. Thus, SAND might drop towards $1 in the coming weeks or days.

The Relative Strength Index stayed below the 50 neutral since early April sessions, highlighting bearish biases for SAND. Also, the Stochastic RSI created a bearish cross, supporting the bearish trend.

Meanwhile, the on-balance volume increased slightly within the previous week while presenting higher lows. However, selling volume has outshined buying momentum within the past couple of days.

Furthermore, the Chaikin Money Flow remained beneath -0.05 within the last six weeks. That affirmed substantial capital flows leaving the market, authorizing selling momentum.

Final Thought

SAND indicators confirmed seller momentum in recent weeks. Moreover, the alt might struggle for bullish reversals. Buyers might wait for a sentiment shift, whereas short-sellers would target Sandbox’s reactions around $1.19, then $1.53, plus a move beneath the psychological support at $1.

Editorial credit: Dennis Diatel / shutterstock.com

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