- STX rose 15.68% last week.
- One analyst expected a 140% increase to $3.78.
Over the past 30 days, the altcoin market has attempted to recover, making significant gains. Amid this recovery, no one has remained as consistent as Stacks [STX].
At the time of writing, STX was trading at $1.61, up 15.68% on the weekly charts. It also rose 5.78% on the monthly charts.
Despite the increase, the STX remained 58% below the ATH of $3.92 reached on March 31. However, recent price movements have revived optimism, with analysts betting big on the altcoin’s future.
For example, popular crypto analyst Johncy Crypto predicted a 140% upside for STX, citing a breakout from the downside channel.
What the prevailing market sentiment suggests
In his analysis states Johnny highlighted one key indicator that showed Stacks was poised for a huge rally.
Source:
STX has broken out of the long-term downward channel. This breakout indicated a potential trend reversal.
In context, a breakout above a long-term downtrend indicated that the downtrend was weakening as buyers gained strength.
This shift indicated that the market was moving from a period of lower lows and lower highs to higher lows and higher highs – the start of a new uptrend.
So the STX could rise towards the $3.78 target, with an upside of 140%.
What STX charts suggest
Source: TradingView
Stacks’ Directional Movement Index showed that the positive index had exceeded the negative index. The positive movement index stood at 22, above the negative index at 17.
This indicated that buyers were becoming more dominant in the market. It is a signal that a bullish trend may be starting, or that the market has strong upward momentum.
Source: Coinglass
Additionally, STX liquidation for long positions has remained low in recent weeks and has not reached $500,000 since the August 5 market crash.
This showed that STX enjoyed favorably among long-term investors, indicating confidence in the altcoin’s future prospects.
Source: Santiment
Finally, STX’s Open Interest in USD per Exchange saw a continued uptrend this past week as it rose from a low of $14 million to $19.6 million at the time of writing.
This suggested that new positions were being opened, while investors continued to hold existing positions.
Read stacks’ [STX] Price forecast 2024–2025
Therefore, as Johnny noted, STX is poised for further gains. If the prevailing positive market sentiment holds, Stacks will break out of the USD 1.8 resistance.
A breakout from this level will strengthen the altcoin and try to reach the resistance level of $2.1.
Credit : ambcrypto.com
