Stacks Eyes $2.4: Is a 20% Surge in STX Forthcoming?

• Volume signals show strong bullish sentiment.
• A key resistance level prior to the May peaks was noted.

Stacks [STX] is yet another altcoin that has emerged from a three-month price range. Similar to Bitcoin [BTC], it had been experiencing a decline since April across higher timeframes.

The recent positive sentiment and demand are noticeably bolstering growth.

A recent analysis indicated that STX was poised to revisit the range highs, contingent on the OBV achieving a new local peak. This anticipated price retest has occurred, with OBV also reaching new highs.

Remarkable strength from the bulls

Source: STX/USDT on TradingView

In terms of volume, the bulls have clearly shown their commitment. In addition to the OBV reaching a new local high, the CMF stands at +0.24. This is a mark the indicator has not hit since January 2023.

A CMF value above +0.05 indicates significant capital inflow into the market. Together, these volume metrics suggest a strong probability of a breakout for Stacks.

The daily RSI is also significantly bullish, and the bearish breaker block at the critical $2 mark is close to being surpassed.

Current price movements and indicators point to a healthy bullish trend. The next target is $2.4, the resistance level established in May and June.

Orderbook heatmap reveals support/resistance insights

Source: MobChart

The MobChart order book heatmap highlights the closest significant support and resistance levels. Additionally, the accumulation of limit orders at specific thresholds encourages price movement towards those levels.

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For instance, a week ago, approximately $1 million in limit orders was present at the $2 level. These orders were cleared, prompting a slight dip in price to $1.84 a few hours later.

Likewise, the concentration of orders at $2.2 may draw Stacks prices toward it before any slight pullback occurs.

Disclaimer: The content provided is for informational purposes only and does not offer financial, investment, trading, or other forms of advice. It represents solely the author’s viewpoint.