Neiro on Ethereum (NEIRO), a cryptocurrency, has recently seen an immense uptick in value, leaping over 5000% in the past month and reaching an impressive all-time high of $0.0021. However, signs of potential reversal or market correction are beginning to emerge. One key indicator is the token’s Relative Strength Index (RSI), which currently stands at 74.65. An RSI over 70 typically suggests market overbuying, hinting that a price adjustment may be on the horizon as traders begin to take profits.
Additional evidence of an impending market correction comes from the Chaikin Money Flow (CMF), a measure of buying and selling pressure. Currently, NEIRO’s CMF reveals a downward trend, indicating that some token holders are beginning to sell off their investments and lock in the gains from the token’s recent surge.
NEIRO’s open interest – the value of its active, unsettled derivative contracts such as options or futures – presents a third sign of potential destabilization. Standing at an all-time high of $209 million, an 186% increase since the start of the month, the acceleration in open interest suggests an overheated market.
It’s worth noting that the Fibonacci Retracement tool readings for NEIRO suggest a potential decline to the major support level at $0.00085 if buying pressure subsides. This would signify a steep 57% market correction from the current price of $0.0020. However, should the current market momentum be sustained, NEIRO’s price might reclaim its all-time high and even rally beyond it.
Via: BeinCrypto