Trusted

Kaspa (KAS) Price Hits All-Time High to Close Q2

2 mins
Updated by Ryan Boltman
Join our Trading Community on Telegram

In Brief

  • Kaspa (KAS) surged to an all-time high of $0.19 on June 30 before declining by 7%.
  • Despite the correction, KAS' RSI at 68.52 indicates high buying pressure.
  • However, traders remain cautious as negative weighted funding rate and significant long position liquidations trail the token.
  • promo

KAS, the altcoin that powers the Kaspa proof-of-work blockchain, saw its value climb to an all-time high of $0.19 on June 30. Exchanging hands at $0.18 at press time, the token’s value has since declined by 7%.

An on-chain assessment of KAS’ price performance confirms that traders continue to demand the altcoin

Kaspa’s Brief Decline Triggers Surge in Long Liquidations

As of this writing, the value of Kaspa’s (KAS) Relative Strength Index (RSI) is 68.52. It is also in an uptrend. This indicator measures an asset’s overbought and oversold market conditions.

It ranges between 0 and 100, with values above 70 suggesting that the asset is overbought and due for a correction. In contrast, values below 30 indicate the asset is oversold and may soon witness a rebound.

At 68.52, KAS’ RSI signals high buying pressure among market participants. It confirms that the token price hike is backed by actual demand, which may be necessary to sustain the rally. 

Read More: How To Buy KASPA And Everything You Need to Know

Kaspa Relative Strength Index. Source: Santiment
Kaspa Relative Strength Index. Source: Santiment

After KAS rallied to an all-time high yesterday, many futures market traders opened several short positions. This was gleaned from the negative weighted funding rate (-0.0085%) recorded yesterday. 

Funding rates are a mechanism used in perpetual futures contracts to ensure the contract price stays close to the spot price. 

When an asset’s funding rate is negative, more traders demand short positions. This means that more traders expect the asset’s price to fall than those who buy it with the expectation of selling at a higher price. 

Several long positions were liquidated when KAS eventually corrected from its all-time high. On June 30, the value of long positions liquidated totaled $586,220, its single-day highest since March 16. 

Kaspa Total Liquidations. Source: Coinglass
Kaspa Total Liquidations. Source: Coinglass

Long liquidations happen when an asset’s value drops unexpectedly, forcing traders with open positions in favor of a price rally to exit. 

KAS Price Prediction: There is Room For More

KAS’ value may rise further as the bullish bias towards it remains significant. For example, readings from its Awesome Oscillator show that the indicator has returned only green histogram bars since June 23. 

Kaspa Analysis. Source: TradingView
Kaspa Analysis. Source: TradingView

This indicator measures an asset’s price trends and identifies reversal points. When it posts green bars, it is a bullish signal, indicating that there may be upward movement or strength in the ongoing trend.

If the current trend continues, KAS’ price will reclaim its all-time high and may end up trading above it at $0.2.

Kaspa Analysis
Kaspa Analysis. Source: TradingView

However, a decline may ensue if profit-taking activity gains momentum, invalidating the bullish projection above. KAS’ price may fall to $0.17.

🎄Best crypto platforms in Europe | December 2024
eToro eToro Explore
Coinrule Coinrule Explore
Uphold Uphold Explore
Coinbase Coinbase Explore
3Commas 3Commas Explore
🎄Best crypto platforms in Europe | December 2024
eToro eToro Explore
Coinrule Coinrule Explore
Uphold Uphold Explore
Coinbase Coinbase Explore
3Commas 3Commas Explore
🎄Best crypto platforms in Europe | December 2024

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Untitled-1.png
Abiodun Oladokun
Abiodun Oladokun is a technical and on-chain analyst at BeInCrypto, where he specializes in market reports on cryptocurrencies from diverse sectors, including decentralized finance (DeFi), real-world assets (RWA), artificial intelligence (AI), decentralized physical infrastructure networks (DePIN), Layer 2s, and meme coins. Previously, he conducted market analysis and technical assessments of various altcoins at AMBCrypto, utilizing on-chain analytics platforms like Messari, Santiment...
READ FULL BIO
Sponsored
Sponsored