Nov 15, 2024
6thTrade
Peanut the Squirrel (PNUT) has captured market attention with a breakout from a symmetrical triangle pattern on the 1-hour chart, signaling a potential bullish continuation. At press time, PNUT was in a critical retesting phase near $2.1389. A successful retest of this level could confirm the breakout and set the stage for further upward momentum. $PNUT
Technical Indicators Signal Bullish Momentum
MACD and RSI readings bolster the bullish case for PNUT:
The MACD line crossing above the signal line indicates growing positive momentum, a key sign of increased buyer interest.
The RSI stands at 56.89, comfortably below overbought levels, suggesting room for further gains before the price faces significant selling pressure.
These indicators, combined with the breakout, hint at a favorable environment for PNUT's sustained upward movement.
Whale Activity: A Confidence Booster
On-chain data highlights notable whale involvement in PNUT, adding credibility to its bullish potential:
The largest PNUT holder controls 27 million tokens valued at over $51 million, according to Lookonchain analytics.
This whale has conducted 39 token trades, with PNUT emerging as a standout investment.
Such substantial holdings and trading activity by major investors often contribute to token stability and inspire confidence among smaller traders. Whale accumulation could provide the liquidity and support necessary to sustain PNUT’s rally.
Social Metrics: Temporary Dip or Strategic Focus?
PNUT’s social dominance has recently dipped from 1.8% to 1.19%, reflecting a potential short-term decline in retail attention. However, this shift may indicate that traders are cautiously observing the retest phase before re-entering the market. A confirmed breakout and rally could quickly reignite social interest, bolstering momentum and boosting PNUT's visibility across platforms.
Balanced Liquidations: A Sign of Market Caution
Data from Coinglass reveals a near-equal balance between long and short positions:
$2.95 million in long liquidations
$2.78 million in short liquidations
This equilibrium suggests a cautious yet optimistic market sentiment. If the breakout retest holds, increasing long liquidations could act as a catalyst, accelerating the rally as shorts are forced to cover.
Outlook: PNUT Ready for the Next Move
PNUT’s breakout from the symmetrical triangle, coupled with:
Bullish MACD and RSI signals
Strong whale backing
A balanced liquidation landscape
...positions the token for potential gains. While social dominance has seen a slight decline, it could recover quickly with a confirmed rally.
If PNUT successfully holds its retest at $2.1389, the token appears well-poised for a sustained upward trajectory in the near term. Traders and investors may want to watch this level closely, as its outcome could define PNUT’s next significant move.