Disclaimer: The results of the analysis below are the author’s sole opinion and should not be considered investment advice.
Incompetence Bitcoin Maintaining the $ 44,000 territory creates strong selling pressure across the crypto market, sandbox It was one of the affected coins. As Bitcoin fell below the $ 44.4k level, SAND also fell below the $ 3.4 level. The $ 3 level was also broken by the bear. Does this mean that the bulls in March have been revoked? Conversely, can sandboxes make a profit in a few weeks and push towards the $ 4.4 territory against the backdrop of sustained demand?
SAND-1 day chart
In the daily time frame, SAND’s market structure still had a bullish bias. Don’t roll your eyes yet. The downtrend (purple) and its recent low of $ 3.41 were broken by a high two weeks ago. The low of $ 2.62 in February follows the high in March.
The chart will be bullish until the $ 2.62 level is broken. In the next few days, the $ 2.8 level may have some importance in the lower time frame. The lower timeframe had a bearish outlook as the $ 3 level was yielded to the bear.
Therefore, long-term investors hope that the $ 2.6- $ 2.8 area will be protected by bulls in the coming days. If such a scenario unfolds and the SAND can exceed $ 3, the recent decline can be seen as an acquisition of liquidity.
The rationale
Source: TradingView SAND / USDT
The RSI hovered just above the 40 mark during the press, and the Stochastic RSI was also in the oversold territory, on the verge of forming a bullish crossover in the current trading session. It should be remembered that the momentum indicator lags behind the price.
OBV has been on the rise since March, demonstrating confidence in bullish bias alongside highs.
Conclusion
If Bitcoin sees another wave of selling, SAND could fall towards the $ 2.62 mark. For risk-averse buyers, buying opportunities are likely not yet visible, and long-term investors will need to move above $ 3 and $ 3.4 to expect a move to $ 4.4.
In the lower time frame, it would be encouraging if the Bulls could push the SAND back above the $ 3 mark. $ 3.12- $ 3.15 was the area of resistance in the lower time frame.
