BEAT’s 17% rally is under threat despite holding a key level – Why?
BEAT rises more than 17% in 24 hours, but a sell-off looms.
AI and crypto are becoming one and the same thing, thanks to the recent partnerships in the sector.
On that note, BEAT rose by 17% in the last 24 hours, though the daily trading volume slipped by 25%. The volume accounted for about $45.96 million when writing.
What’s driving the price of BEAT today?
The price rally was driven by users alongside fundamentals. As per data from Audiera Finance, the total registered wallets surpassed the 5 million mark, while weekly active wallets were at 168,490.
Additionally, the circulating supply was reduced last week by 193,590, taking the total burned tokens to 480,760. This created a buying effect on the altcoin now that it had reversed back up.
Furthermore, there was an airdrop sell-off exhaustion, which reduced capital outflow. The post-airdrop stabilization reduced immediate supply.
Bulls push BEAT’s price as bears retaliate
On the charts, Audiera’s [BEAT] price was stabilizing above $1.50 after hitting a high of $4.80. The $1.50 zone has held its price since the start of December.
The Stochastic Momentum Index reading was at 51, which meant bulls were strong. That way, price was pushing toward the resistance at $2.835.
When writing, the price was consolidating around $2.235. Breaking above the $2.8 — $3 zone would mean BEAT heading toward levels above $4. Conversely, bears could force a move back to the $1.50 support.
However, the Long/Short Ratio Accounts reading was at 0.91. This indicated that bulls were likely entering the market for profit-taking, while bears may have retaliated.
Looking ahead, liquidity and token unlocks could define BEAT’s price trajectory.
Buy liquidity meets token unlocks
The Aggregated Orderbook Liquidity Delta Chart showed a spike to over $600K. This buy liquidity was a recovery from the negative reading that was seen in the past three days when the price started declining.
Buyer volume often leads to prices pushing up, while the sale results in the opposite direction.
For the Futures trading, the order book liquidity delta was negative on Binance. This sell-side liquidity contrasted the aforementioned bullishness. That meant that there was a possibility of a price drop.
As that was not enough, there was another looming sell pressure. Next week, about $44 million in BEAT will be unlocked, increasing the circulating supply. This elicits selling sentiment from holders.
However, the burning mechanism of the Audiera team could help keep the BEAT token from selling off.
Altogether, BEAT price seemed destined for further appreciation, though more bullish signs needed to align.
Final Thoughts
- BEAT rises more than 17% in 24 hours, driven by token burns and user involvement in the web3 dance game token.
- BEAT price was stabilizing above $1.50, though the upcoming token unlocks could spark a sell-off that could lead to a breakdown.
