Sonic Surges 9.58%: Can It Sustain Momentum Past Key Resistance Levels?

Sonic, a cryptocurrency, has been experiencing a notable rally, trading at $0.5957 at press time, with a 9.58% increase over the last 24 hours. The cryptocurrency recently broke out of an inverse head-and-shoulders pattern, signaling the potential for further gains. This technical formation has historically signaled strong bullish momentum, and Sonic’s price could rise by 35%, reaching $0.80.

However, with key resistance levels ahead, the real question is whether Sonic can maintain this upward momentum or face potential resistance. Sonic’s price shows an upward trend after breaking out from the inverse head-and-shoulders pattern. The price recently crossed the $0.55 and $0.60 levels, indicating that Sonic is gaining strength. Moving forward, the cryptocurrency faces immediate resistance around the $0.63 and $0.82 levels. If Sonic breaks through the $0.82 mark, it could spark a rally towards $0.80. However, if it fails to maintain this momentum, a pullback could occur. Therefore, traders must closely monitor these resistance levels and be prepared for any momentum shifts.

Looking at Sonic’s on-chain data, the signals present both bullish and bearish factors. The network’s growth has shown a slight increase of 0.15%, suggesting growing interest. Additionally, the percentage of Sonic holders “in the money” has surged to 21.26%, indicating that many investors are currently in profit. This could provide support for a continued rise in price. However, large transactions have decreased by 13.42%, which may signal a decline in institutional interest. Furthermore, concentration has also increased slightly by 0.05%. These mixed signals indicate that while there is support for a bullish trend, some factors could hinder further gains.

Sonic’s Weighted Sentiment has undergone a significant shift in recent days. On the 16th of February, sentiment reached a low of -1.91, but since then, it has steadily improved to -0.934. The positive shift in sentiment indicates a growing confidence in the coin’s price potential. This increase in sentiment, combined with the bullish technical indicators, suggests that Sonic could maintain its upward trend in the short term. Additionally, positive sentiment may attract more investors, driving the price higher.