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Mapping Story’s [IP] next move: Traders, watch out for THIS level

2min Read

IP is trading within a symmetrical triangle pattern where a break above or below could determine its next trajectory.

Story [IP] on the verge a triangle breakout — Will IP hit $9 or $3?
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  • IP was consolidating within a symmetrical triangle that was on the verge of a breakout at the apex of the pattern.
  • The liquidation heatmap showed that crossing $5.50 could drive IP towards $5.70 and suggests bullish strength.

The price action of Story [IP] suggested a point of breakdown in a symmetrical triangle pattern. IP fluctuated between $3.50 and a high of $9.05 which was the range for the triangle pattern.

As of press time, IP’s price hovered around $5.00, suggesting consolidation at the triangle’s apex and hinting at a potential near-term breakout.

The MACD indicator, with a histogram value of -0.0024, displayed bearish momentum, as the MACD line was marginally below the signal line.

An upward breakout from the pattern could push IP’s price above $9.00, provided the MACD histogram turns positive, and the move is supported by higher trading volume.

Conversely, a breakdown below the pattern, accompanied by further weakening of the MACD, could drive the price down to levels below $3.00.

IP

Source: TradingView

If the price of IP continues to trade within the pattern, a rebound toward higher levels could be on the cards with a neutral MACD. Equally, a bearish breakout could send IP down to $3.00.

With current consolidation and a bearish MACD, a breach below $3.00 is more likely unless market sentiment strengthens, pushing IP past resistance to $10.00.

IP’s liquidation and spot flow ratio

Further analysis of the Binance IP/USDT pair using the 24-hour liquidation heatmap on Coinglass highlighted significant liquidity regions that appear to influence IP’s price movement.

At the time of writing, IP’s price ranged between $4.20 and $5.80, with recent stabilization around $5.00.

These liquidity-rich regions act as price magnets. Key levels include $5.50 as a potential resistance, $5.00 as the current support, $4.50 as a minor support, and $5.70 as an upper resistance.

This suggests that IP might trend toward $5.50, as prices often gravitate toward high-liquidity areas for stop-loss or forced liquidations. A breakout above $5.50 could propel the price to $5.70, indicating bullish momentum.

Source: Coinglass

Failing to hold above $5.00, however, could spark a decline to $4.5 as increasing selling flows in. The levels at $5.7 and $6.0 suggest higher-term objectives should a bullish trend prevail.

The Coinglass IP Spot Inflow/Outflow chart also depicted a positive netflow in the last 24 hours, at press time.

Netflow varied between -$4M and $1M, with significant outflows of -$4M on the 25th of February and inflows of $1M on the 4th of March. However, IP’s recent netflow stood at $175K.

IP

Source: Coinglass

Netflow merely came close to zero, indicating flat action, while the price dropped from $7.00 to $5.00. This would point toward selling pressure because previous outflows may have moderated, yet weaker inflow can limit upside force.

IP follow-through behavior might test $7.00 in case there’s increasing acceleration of inflows or go down to $4.09 in case outflows prevail throughout, signifying underlying marketplace uncertainty.

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Lennox Gitonga is a Financial Market and On-Chain Analyst at AMBCrypto, bringing the rigor of traditional financial analysis to the digital asset space. With a Bachelor of Commerce in Finance, he possesses a strong academic foundation in market principles and investment analysis. His expertise is sharpened by hands-on experience as a professional equities trader and financial analyst, where he honed his skills in analyzing complex market structures. Since transitioning his focus to cryptocurrency in 2019, Lennox has applied this disciplined approach to the blockchain sector. He specializes in providing in-depth analysis on both a technical and on-chain level, interpreting everything from price action and chart patterns to network health and transactional data. At AMBCrypto, Lennox is dedicated to translating this multifaceted data into clear, actionable insights. His work empowers readers by making sophisticated market analysis accessible, helping them understand the key drivers behind cryptocurrency valuations and trends.
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