TRUMP Crypto Sees Possible Rebound as Demand Zone Forms

TRUMP crypto has been experiencing a downturn, losing 10% of its value in the last day. Despite this decline, the chart suggests that it may still rebound and potentially reach higher territory.

The asset's price has pushed into a possible demand zone on the chart, an area where it has previously faced resistance and significant losses. In fact, when it traded at this level last time, its value shed around 32%, forming its August low.

However, if this demand zone fails to hold the asset, the price could plummet and reach a level marked as Demand Zone 2. The Bollinger Bands, an indicator used to identify undervaluation, show that the market is currently undervalued, which has previously triggered rallies in TRUMP.

According to the chart, if this becomes a fractal, there's a high chance of a price rally reaching a high between $2.35 or extending further up to $2.72. Nevertheless, the Money Flow Index (MFI) currently shows a weak capital flow structure, indicating that investors are gradually exiting the market.

The OI Weighted Funding Rate has dropped to -0.0221%, suggesting a heavy concentration of short positioning in the perpetual market. This tilt in the market is presently favoring short traders and until there's a clear catalyst for a rebound, TRUMP faces further downside risk.