The memecoin phenomenon continues to capture attention, and Popcat (POPCAT) is leading the charge with multiple market watchers suggesting that it may be on the brink of a rally toward a new all-time high (ATH). As the token attempts to reclaim crucial resistance levels, some analysts are cautioning that a correction might be on the horizon, possibly steering it back toward its monthly opening price.
Popcat has emerged as one of the standout cryptocurrencies over the past three months, gaining significant traction and establishing itself as the first cat-themed memecoin to surpass a $1 billion market capitalization. Over the last 30 days, Popcat has surged by an impressive 108%, reaching three new ATHs after breaking the $1 barrier.
Despite this meteoric rise, the token has faced challenges, particularly after hitting its latest ATH of $1.56 just a week ago. Since then, Popcat has been experiencing a 7-day downtrend, leading some investors to wonder if a correction is imminent.
The recent trading activity reveals that Popcat has made an unsuccessful attempt to break above its trendline earlier this week, resulting in a correction toward the $1.2 support level. However, the token bounced back by 16.6% from this level on Thursday, propelling it toward the $1.3 resistance mark.
In the last 24 hours, Popcat has retested the trendline twice after briefly surpassing the $1.4 threshold. Analysts believe that if the token can successfully reclaim this level, it could pave the way for another rally, possibly setting a new ATH. One market watcher suggested that if Bitcoin maintains its current price trajectory, Popcat may break through the $1.4 resistance level as early as next week.
Despite the optimistic outlook, analysts have flagged the possibility of a correction. Crypto analyst Sanchez pointed out that Popcat's price was “running flat” on the four-hour chart. While the performance looks promising for another leg up, there is a cautionary note regarding potential price retractions before a breakout occurs.
Sanchez emphasized that a good reaction around the $1.29 mark would be ideal to solidify the current upward momentum. However, if the price drops from the $1.3 mark, it could fall toward the $1.1 to $1.0 range. Trader Crypto Tony even suggested a retest of the monthly opening around $1.01 could be in play if the token faces rejection at its current levels.
Despite the mixed signals, Popcat has still managed to increase by 7% in the last 24 hours, trading just 8.7% below its ATH. The cryptocurrency has reclaimed the $1.3 mark and is actively working to confirm its breakout and regain the $1.4 resistance level. As market watchers keep a close eye on Popcat, the next few days will be critical in determining whether the memecoin can break through resistance levels or if it will succumb to the correction forecasted by some analysts. Investors and traders alike will be watching closely as Popcat positions itself for potential new highs or faces a pullback.
October 2024, Cryptoniteuae