Donald Trump’s newly launched meme cryptocurrency, OFFICIAL TRUMP (TRUMP), has become the talk of the market with a 268% surge in the past 24 hours. Its market capitalization surpassed $14 billion, placing it in the top 20 cryptocurrencies within just 24 hours of its launch.
However, there are signs that this upward momentum is decreasing, leading to the possibility of a short-term correction.
TRUMP Is Overbought
TRUMP technical indicators suggest that this Meme Coin Coin is overbought, raising concerns about the possibility of an upcoming correction. Its relative strength index (RSI) is currently at 98.88, indicating strong buying demand for TRUMP.
This indicator measures overbought or oversold market conditions of an asset. It ranges from 0 to 100, with values above 70 indicating that the asset is overbought and may need a correction. Conversely, a value below 30 indicates the asset is oversold and could rebound.
With an RSI level of 98.88, TRUMP is currently very overbought, indicating unusually high buying pressure. This signals a possible reversal or correction as the price may have difficulty maintaining the current trend.
Furthermore, TRUMP’s market is highly volatile, increasing the risk of a price drop. This is demonstrated by the rising ATR (Average True Range) index, which is currently at 6.20.
The ATR index measures market volatility by calculating the average range between the high and low prices of an asset over a specific period of time. When the index increases, it indicates increased volatility, signaling the possibility of price swings in either direction.
TRUMP Price Forecast: Currency Price Moves Between $31.64 Support and New All-Time High
According to data from TRUMP’s Fibonacci Retracement tool, as the correction takes place, the price could fall towards the support level at $31.64. If the bulls cannot defend this area, the downtrend could continue to $15.58.
On the other hand, if coin accumulation increases strongly, this Meme Coin Coin could reach a new all-time high, negating the previous bearish outlook.