Analysts name reasons for SUSHI token’s growth by more than 55%

ABM Crypto analysts have drawn attention to the little-known SushiSwap token (SUSHI), which managed to grow significantly last week. According to CoinGecko, the value of SUSHI rose by 56% in 7 days.

The researchers noted that on the daily chart, a significant part of the growth in the value of SushiSwap occurred on a single candle. It is noted that on November 1, 2023, the increase in token quotes amounted to 47.8%. During the next trading session, the value of SUSHI dropped by more than 8%. However, the SUSHI rate still remained in the new price range. At the time of writing, SUSHI is trading at $ 0.99. At the same time, the value of the asset has decreased by 5.7% over the past 24 hours.

Analysts emphasized that the Relative Strength Index (RSI) indicates the possibility of a price correction in the near future. This indicator has risen above 80, signaling that the cryptocurrency is overbought. Experts also drew attention to a significant decline in trading volumes. The value fell by 62.4% over the past 24 hours to $ 82.5 million, indicating a possible correction in the near future.

An analysis of the funding rate on Coinglass shows that this value of SushiSwap rose to its highest level in several months, amounting to about 0.2%. Subsequently, the rate decreased but remained positive. The asset liquidation chart showed that this week’s price jump led to an increase in the number of closed orders. At the same time, the balance between short and long positions remained almost zero.