The price of RUNE is currently at $1.53, experiencing a weekly increase of around 70%. With Bitcoin and most altcoins remaining stable, investors are curious about the reasons behind such a significant movement. Will the volatility that daily traders seek continue in the price of RUNE Coin? What do the latest data indicate?
Why Did the Price of RUNE Coin Increase?
The price of THORChain (RUNE) has increased by approximately 70% in the past seven days, breaking out of a significant diagonal resistance line. Readings from weekly and daily time frames supported the idea that a larger movement could continue beyond the highest level of the year.
Since reaching a local low of $0.78 on June 14th, the price of RUNE has been on an upward trend. Although the increase was initially gradual, the price formed a higher low in early August, followed by an acceleration in the upward momentum. Over the past seven days, the price of RUNE has increased by approximately 70%.
The surge began shortly after a positive report from Delphi Digital, indicating strengthening fundamentals and user interest.
RUNE Coin Chart Analysis
The daily RSI supports the ongoing increase. However, a decline confirmed by a rejection at the $1.7 level could validate a previous descending resistance line. The line is currently at $1.20, and the price is at $1.53. The technical analysis on the weekly timeframe aligns with the daily analysis, mostly due to price movement.
The price of RUNE continues to close above the long-term $1.50 resistance area. The first prerequisite for the upward movement is for the price to maintain this region, which it is approaching at the time of writing. This area is crucial as it has intermittently acted as both resistance and support since the beginning of 2021. Therefore, a close above this level could be a definitive bullish sign confirming the upward readings on the daily timeframe.
If the price of RUNE closes above $1.50, it could rise to a long-term resistance line of $5. This represents a 220% increase from the current price. However, a failure to break the $1.7 resistance could trigger a decline towards $1.2 (in case of closes below $1.5).
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