SUSHI has shown strong bullishness, ranking as the most influential project in Avalanche and breaking into the top 10 in Altrank on Polygon.
At this time of writing, CoinGecko is estimating a 24% increase in value, which is a 10% increase from where it was.
The following is a quick rundown of some of SUSHI’s more notable qualities that demonstrate its “tasty” status:
There was a 4% increase in TVL.
Positive environment, but unfriendly market conditions are a drag for the token
Future discomfort is possible, but the investment case remains strong
Most Influential Project on Avalanche$SUSHI @SushiSwap$JOE @traderjoe_xyz$FITFI @StepApp_$TIME @wonderland_fi$CRA @PlayCrabada$ALBT @allianceblock$BIFI @beefyfinance$PNG @pangolindex$CQT @Covalent_HQ$ANY @MultichainOrg#AVAX $AVAX pic.twitter.com/9ozC2j4Wrp
— AVAX Daily (@AVAXDaily) November 21, 2022
In addition, DeFiLlama has noticed a 4% rise in TVL. All in all, investors and traders have a lot to be optimistic about here.
But the technicals of the coin suggest that the bullishness is fleeting, as it is being carried around by the present bear market.
SUSHI Remains Stale
Since its crash in May 2022, SUSHI’s price has barely moved. Also, the token has been trading between $2.083 and $0.861 for some time now.
This coin, however, has been making higher highs and lower lows despite the bear market since the latter half of Q2 this year.
The present price surge, however, is not only due to its recent successes, but also to the active development that Santiment has seen.
Recently, the team issued an update on its focused liquidity pool, which they claim would increase capital utilization efficiency.
At present, the token’s long-term price action is a spreading triangle. This indicates an increase in volatility and a possible price reversal.
This coincides with the expansion of the Bollinger band at the current market price. On shorter timelines, the present price has already made it past the middle band, but on a daily scale, the price is still below the middle band.
While the regression channel partially confirms a possible reversal, below-neutral RSI readings impede this possibility. Chaikin’s money flow index, which currently stands at -0.12, likewise favors the bears.
Caution Advised For Traders
If the price continues to struggle and closes the day with a red candle, SUSHI may fall to $1.083 in value. If the bulls are unable to defend this price level, a further decline to $1.012 is possible.
Sushi would likely be an excellent investment if market conditions were less unfriendly.
With the EMA ribbon indicating that a short position is significantly more plausible, resistance at $1.375 will be greater despite SUSHI’s favorable circumstances.
As the situation steadily improves, SUSHI appears to be an appealing investment for portfolio diversification.
SUSHI total market cap at $151.5 million on the daily chart | Featured image from Coin Edition, Chart: TradingView.com