SAND rallied 53.39% to break its long-term downtrend and aim for a target of $0.807.
Open interest surged 134.61%, while bullish on-chain indicators signaled continued upward momentum.
Sandbox [SAND], a leading Metaverse token, has taken the crypto market by storm with a staggering 53.39% gain over the past 24 hours, climbing to $0.6112. Trading volume surged a staggering 557.67% to $1.87 billion, while its market cap stands at $1.46 billion.
At press time, SAND appears poised for further gains, which raises the question: Can this metaverse token maintain its momentum and lead a market recovery?
SAND breaks out of downtrend
SAND has broken above its long-term descending trendline, marking the end of a months-long bearish cycle. This decisive breakout was accompanied by strong bullish momentum, as evidenced by its current trading price of $0.6323.
Importantly, the price has broken through the $0.625 resistance level, which is now acting as a critical support level. Therefore, the next major target is $0.807, and this move could mean a further upside of 27.75%.
Additionally, if the coin fails to sustain its upward trajectory, $0.625 will become a critical floor to watch. A pullback to this level could see consolidation before the next leg higher.
From a technical perspective, the MACD shows growing bullish momentum with the MACD line at 0.0530 surging above the signal line at 0.0284, suggesting strong buying activity. The widening gap highlights the continuation of the upward momentum.
Moreover, the Bollinger Bands showed increased volatility at $0.6323, which is well above the upper band at $0.5015, reflecting strong buying pressure.
Therefore, while the momentum remains strong, traders should be prepared for potential price swings around the key $0.807 resistance level.
On-chain metrics suggest confidence
Interestingly, on-chain metrics further strengthen the bullish case for SAND. Net network growth rose by 0.40%, reflecting increasing adoption.
Meanwhile, 6.18% of addresses are now in profit, and large transactions surged by 6.89%, indicating growing interest from institutional investors. Additionally, a 0.33% increase in concentration suggests growing confidence among key holders.
Market bets increase, open interest surges
The open interest in the derivatives market surged by 134.61% and now totals $151.89 million. This growth suggests that traders are betting big on SAND’s continued bullish momentum.
Therefore, the surge in speculative interest strengthens the likelihood of continued price increases.
Conclusion: Can SAND lead the next rally?
SAND’s breakout from the downtrend, coupled with bullish on-chain metrics and surging open interest, suggests that the coin is poised for further gains.
Therefore, as long as SAND can sustain above $0.625, a test of $0.807 is possible in the coming days. It looks like the Metaverse rally has just begun, with SAND leading the way.
