The Current State of SANDBOX (SAND) Price and Market Trends
In early trading today, SANDBOX (SAND) price surged to $0.27, showing signs of potential recovery. However, despite this temporary uptick, 98% of current holders are experiencing losses, indicating a bearish sentiment among investors. Year to date, sand prices have plummeted by 56.22%, signaling a prolonged downward trend that could lead to the coin revisiting its lowest prices from the 2022 bear market.
Challenges Faced by SANDBOX (SAND)
While SANDBOX prices have seen a modest 6% increase in the past week, on-chain data reveals a concerning short/long term gap, with the MVRV indicator standing at -35.56%. This negative value suggests that short-term holders might realize more profit than long-term holders if they were to sell at the current price.
Historically, a MVRV long/short divergence in the range of -40.74% to -75.26% has been an indication of Sand entering a bearish cycle. Additionally, the bearish and bullish indicators show that SAND has experienced more downtrends than uptrends over the last seven days, signaling a lack of confidence among traders in the coin’s potential.
Forecast for SANDBOX (SAND) Price Movement
Technical analysis of SANDBOX’s daily chart aligns with on-chain indicators, with the Balance of Power (BoP) dropping to -0.64, indicating a bear market. If sellers continue to dominate, the recent price gains may be short-lived. Fibonacci retracement levels suggest that sand could potentially drop to $0.20 if selling pressure intensifies, while a strong uptrend could see the coin retesting the $0.30 level.
In conclusion, the current market conditions and indicators point towards a challenging time for SANDBOX (SAND), with the potential for further price drops looming. Investors should closely monitor these developments and adjust their strategies accordingly.
