The strong performance of Bitcoin has led to new highs. Popular DeFi altcoin has surged over 80%. Investors started witnessing massive rallies in altcoins at the end of October. Mina and many other cryptocurrencies experienced rallies of nearly 100%. Now, as Bitcoin tries to hold its ground at $35,000, investors are becoming even more confident.
Why is SushiSwap (SUSHI) Surging?
SushiSwap price has rapidly increased and crossed $1. One of the standout altcoins in the current bull cycle is the DeFi giant SUSHI Coin. As Bitcoin holds above $34,000, some capital has begun to flow into altcoins. With weakening order book liquidity and declining volumes, massive rallies in altcoins are now much easier to experience.
Given the low volumes, it wouldn’t be surprising to see continued surprise rallies in altcoins. The Relative Strength Index (RSI) indicates a potential for a price correction in the near future. RSI, which has jumped to overbought levels, usually leads to minor corrections, followed by a period of sideways movement before continuing the rally.
When looking at the funding rate on Coinglass, it can be seen that derivatives market traders are also showing a positive outlook on prices. The SushiSwap funding rate has reached around 0.2%, the highest level in the past few months.
SUSHI Coin Chart Analysis
On November 1st, 2nd, and 3rd, the price tested the $1.3 resistance consecutively. After the third test, there was a retracement to the $1.02 support zone. Now, if there is no significant negativity in the BTC price, the resting bulls can make a new attempt to surpass the critical threshold. However, daily chart support closes below would indicate the end of the rally and a potential drop to $0.8. Closes below that could put an end to the rise that started at $0.64.
In the weekly chart, the $1.1 level is of great importance. If this level is secured, a test of the $1.52 peak can be expected. The ultimate target in the medium term is $2. SUSHI Coin bulls will need to surpass these levels to reverse the downward movement since 2021. The ultimate target is a double-digit price and a new ATH level.
