JasmyCoin Drops 7.1% Amid Bearish Technicals

JasmyCoin [JASMY] experienced a significant decline, losing 7.1% of its value over the last 24 hours. This drop was triggered by a rejection at the descending channel’s resistance, pushing the asset into a critical support zone at $0.0124. This level is pivotal as it could potentially reverse the downtrend and trigger a breakout from the channel. However, if the support breaks, JASMY may drop by 15% towards $0.0120, or even further to $0.00822, marking a 27% decline.

Technical indicators also suggest a bearish outlook for JASMY. The Relative Strength Index (RSI) fell to 41.81, entering the bearish zone which typically correlates with market downtrends. Additionally, the Chaikin Money Flow (CMF) turned negative, dropping to -0.06, indicating that selling volume has been dominating buying activity. This combined drop in both the RSI and CMF signals greater selling pressure, suggesting that JASMY’s price could continue to fall.

Despite these bearish technicals, there are signs of bullish sentiment in both the spot and derivatives markets. Positive exchange netflows indicate that $235,000 worth of tokens moved from exchange wallets to private wallets, a trend that suggests accumulation and may help JASMY hold its current support level. In the derivatives market, the Open Interest Weighted Funding Rate returned to positive territory, implying that long positions have been gaining dominance. If this accumulation continues, it could help JASMY retain its support or even trigger a reversal rally. However, if selling pressure persists, JASMY could see a broader price decline to the previously projected levels.

Market sentiment has been mixed lately, with investors divided between bullish and bearish expectations. The next move for JASMY will largely depend on whether it holds this support or breaks below it, resulting in another leg down. The asset’s price action and technical indicators suggest a critical juncture, with the potential for either a significant bounce or a further decline.