JasmyCoin has emerged as today’s top gainer, registering a 4% price increase over the past 24 hours. This surge comes after a sharp drop earlier this week when the altcoin plunged to a 12-month low on Monday.
While the sudden surge has sparked concerns that it could be a temporary “dead cat bounce,” on-chain and technical indicators suggest that the rally is likely supported by genuine new demand for JASMY.
JASMY Shows Sustained Strength
A dead cat bounce occurs when an asset’s declining price recovers temporarily before resuming its downward trend. It is typically driven by short-term market optimism but lacks strong underlying demand.
This is not the case for JASMY, whose technical and on-chain indicators reflect a resurgence in new demand for the altcoin. For example, its climbing on-balance-volume (OBV) highlights this.
As of this writing, this indicator, which measures an asset’s cumulative flow of volume, is in an uptrend at $177.36 billion. For context, since JASMY fell to a one-year low of $0.0082 on Monday, its OBV has rallied 2%, indicating an uptick in new demand for the altcoin.
Further, JASMY now trades above the dots of its Parabolic Stop and Reverse (SAR) indicator, confirming the bullish shift in the market’s momentum.
This indicator measures an asset’s price trends and identifies potential entry and exit points. When an asset’s price trades above the SAR, it indicates an uptrend. It suggests that the market is in a bullish phase, with the potential for further price increases.
Can JASMY Buyers Hold the Line?
At press time, JASMY trades at $0.010. It remains below the major resistance formed at $0.012. If buying pressure strengthens, the altcoin could flip this price zone into a support floor.
If succesful, it could propel JASMY’s value toward $0.017.
However, this bullish projection will be invalidated if profit-taking makes a comeback. In that scenario, JASMY’s price could revisit its 12-month low of $0.0082.
Disclaimer
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