Since the Coinbase Pro platform announced the listing of OmiseGO, the rate of this ERC-20 token has skyrocketed. OMG price has risen more than 260% - from a low of $ 0.62 to a new annual high of $ 2.27.
OmiseGo market may experience bullish surge
According to Santiment, there is a bullish discrepancy between the daily number of active addresses in the OmiseGo network and the 21-day moving average. It is worth considering that recent volatility could affect this technical indicator, since it reflects price dynamics.
However, Santiment analysts argue that this significant bullish divergence cannot be ignored:
For four consecutive days, the threshold value of +0.5 is exceeded, and this means that there is still a significant amount of daily active addresses that the current price does not correspond to.
The NVT OmiseGo indicator also supports bullish prediction. This indicator takes into account the total capitalization of the network and the amount of funds transferred daily through the blockchain. Even weeks after the announcement of Coinbase, the OMG network remains “The healthiest NVT circulation rate in its history”:
According to IntoTheBlock's “In / Out of the Money” model, even despite significant growth, bulls need a 1400 percent increase to update record price highs.
Of all the addresses where this cryptocurrency is stored, more than 94% is “out of money” (that is, buying an asset to these addresses is still unprofitable), while only 3% of wallets are in the green area (initial purchase of OmiseGo to this address is profitable). These numbers reflect the fact that OMG investors may not be so sure of continued price increases:
Another indicator In / Out of the Money Around Price (IOMAP), which reflects the profitability / loss ratio of stored funds relative to the purchase price, shows that in order to continue the steady growth of OmiseGo, bulls need to return support of $ 1.71. Almost 5 million OMG were bought at this level at more than 2100 addresses.
In other words, a range of $ 1.69 - $ 1.74 is a massive supply wall providing strong resistance. A break above can become a catalyst for another rally, since altcoins no longer have such strong barriers:
On the other hand, a strong support area lies between $ 1.4 and $ 1.52. According to IOMAP, over 4,000 addresses acquired 4.7 million OMGs in this range. In the case of correction, this wall can prevent a further decline in the asset rate.