The price of #SushiSwap has seen strong performance in the last week, with a notable increase of 63% and surpassing the $1 trading threshold.
The surge resulted in the liquidation of short contracts for $4.87 million, marking the largest value observed in almost three months.
The rally exhibits significant magnitude, owing to the huge contribution of SUSHI investors, whose involvement has seen a remarkable surge of 670% over a span of four days.
The price of SushiSwap has experienced remarkable increases in recent days, particularly within this month, as investors eagerly seized the chance to maximize their gains. The network also appeared to derive advantages from their involvement, leading to a distressing experience for short traders.
The price of SushiSwap experiences a significant surge.
The price of SushiSwap, which is currently trading at $1.05, had a significant increase of 63% within a short period of four days. The analysis of the three-day chart reveals a notable upward movement that occurred throughout the current month, resulting in the surpassing of significant resistance levels by SUSHI.
The cryptocurrency has surpassed the 23.6% and 38.2% Fibonacci Retracement levels, which were set at $0.86 and $1.03 respectively, after experiencing a decline from $1.81 to $0.56. In the event that the cryptocurrency successfully establishes the $1.03 level as a support, it would facilitate an upward movement towards $1.19, aligning with the 50% Fibonacci retracement level.
Nevertheless, should SUSHI fail to maintain this threshold, it would render the token susceptible to a decline towards $0.86. Furthermore, if the three-day candlestick concludes below this critical level, it would serve as confirmation that the optimistic hypothesis has been discredited, perhaps resulting in a decrease in SushiSwap's price below $0.80.
Short traders in the #sushi market experience significant losses.
A decrease in the price of SushiSwap would serve as a compensatory outcome for short traders, given that the preceding four days have been particularly unfavorable for their positions. Based on the data acquired from Coinglass, it can be observed that the rally led to a constant and substantial liquidation of short contracts over a period of three days.
During the observed period, traders maintained their anticipation for a decrease that did not materialize, resulting in the liquidation of short contracts. Approximately $4.87 million worth of short positions were liquidated during this time.
It is noteworthy that the responsibility for the financial losses incurred by traders is attributed to the $SUSHI investors themselves. The early surge in value garnered the interest of SUSHI holders, prompting them to actively engage in transactions on the network.
As a result, there was a significant increase in active addresses, which rose from 196 to 1,304 over a span of two days, indicating a substantial surge of 670%. The aforementioned factor sustained the upward trend in the market, leading to a substantial increase of 63%.
Therefore, in order to generate gains, it is possible that short traders may desire a decrease in value. If the price of SushiSwap falls below the support level of $1.03, short traders will get their desired outcome.