Selloff on the Horizon as CORE Soars by 70%, Key Indicator Suggests
CORE, the native token of the Core ecosystem, has emerged as the top performer among the top 100 cryptocurrencies, while an important indicator suggests it may be overbought.
In the past 24 hours, CORE has surged by 70% and is currently trading at $2.8, a level not seen since March 2023. The market capitalization of the asset has also skyrocketed to $2.45 billion, making it the 54th largest cryptocurrency.
It’s worth noting that despite this impressive increase, CORE is still down by 58% from its all-time high of $6.47 on February 8, 2023.
Additionally, the daily trading volume of CORE has experienced a significant rally of 145%, reaching $433 million. CoinMarketCap data reveals that 40% of the trading volume comes from OKX, indicating that investors have a high level of confidence in their trading positions.
However, the token is currently in the overheated zone, which could potentially push it into the bearish zone. According to data from Santiment, the CORE Relative Strength Index (RSI) has surged from 30 on March 22, when the bullish momentum began, to 91 at the time of reporting.
This indicates that CORE is hovering in the overbought zone and may even be subject to whale manipulation. In such conditions, high price volatility can be expected as investors may take short-term profits due to uncertain market conditions.
Despite the high RSI, the sentiment among investors regarding CORE is slightly more positive than negative. Santiment reveals that the asset’s weighted sentiment stands at 1.71.
In conclusion, CORE has experienced significant gains recently, becoming the top gainer among cryptocurrencies. However, caution is advised due to the token’s overbought status and the potential for price volatility.
