Stacks Price Rebound Hinges on Key Zone Above $0.26
Stacks (STX) has become one of the top altcoin gainers, thanks to its strong correlation with Bitcoin (BTC). In the past 24 hours, STX has surged by over 18%, as its trading volume increased by a significant 145%. This uptrend is largely driven by the recent strength in the BTC market, which has been trading above $77,000 for four days.
Technical indicators suggest that the market structure of Stacks is shifting, but it still remains below a crucial zone at $0.26. Analysts believe that if STX can reclaim this level as support, the odds of reaching its year-to-date high of $0.40 will increase.
The 4-hour chart shows that STX has broken out of contraction, indicated by the Bollinger Bands (BBs). This breakout suggests massive volatility and a potential uptrend. Moreover, Open Interest (OI) has been rising, with a significant surge in multiple exchanges like Binance, OKX, Bybit, and KuCoin.
From a short-term perspective, STX needs to flip the $0.16-$0.17 zone into support to maintain its current market structure. Failure at this level could send the price back down to at least $0.14, which is the top of the BB contraction.