RUNE price suffers double-digit decline following…
- RUNE’s value plummeted by double digits in the last week.
- While demand has fallen, some indicators suggest the possibility of a price rebound.
Realistic or not, here’s RUNE’s market cap in ETH terms
At press time, the token exchanged hands at $1.68. According to data from CoinMarketCap, RUNE’s value has dipped by 13% in the last week.
The “nays” have it
According to readings from RUNE’s Moving Average Convergence/Divergence (MACD) observed on a daily chart, the token initiated a new bear cycle on 6 October, and its price has since trended downward.
On that day, RUNE’s MACD line slipped below the trend line. When the MACD line crosses from above to below the signal line, the indicator is considered bearish as it suggests the re-emergence of the bears.
The alt’s Parabolic Stop and Reverse (SAR) indicator – which identifies potential reversal points in an asset’s price direction- confirmed the downtrend.
When the dots that make up the indicator are positioned above the price, it indicates a downtrend. Also, when these dots are closely packed together, it suggests that the trend is strong.
RUNE’s SAR has been positioned above its price since 6 October, coinciding with when the bulls lost market control.
As expected, daily accumulation has fallen behind distribution. At press time, RUNE’s Relative Strength Index (RSI) and Money Flow Index (MFI) were 46.80 and 44.54, respectively.
Falling beneath their respective center lines and in downtrends at the time of writing, the values of these indicators suggested that spot traders preferred to sell.
Moreover, the alt’s Aroon Up Line (orange) was 28.57% at press time. When an asset’s Aroon Up line is close to zero, it suggests that the uptrend in the market is weak, and the most recent high was reached a long time ago.
There is a catch
Interestingly, despite the double-digit decline in RUNE’s value in the last week, its positive directional indicator (green) has remained above its negative directional indicator (red).
When an asset’s price is declining, but its positive directional indicator is above its negative directional indicator. This suggests that, despite the current downtrend, the downward momentum might be weakening. This is often followed by a potential reversal or a general slowdown in the bearish trend.
How much are 1,10,100 RUNEs worth today?
RUNE’s Chaikin Money Flow (CMF) lent some credence to the above position. While its price declined in the last seven days, its CMF, although positioned below zero, embarked on an uptrend.
This created a bullish divergence, which happens when an asset is oversold and due for a rebound.