Sandbox back to key levels and likely to increase by 30%

In the past week, Sandbox has seen a sharp drop from its all-time high. The December 4th flash drop pushed prices towards important support levels, triggering a rapid rally that followed. In the future, investors can expect the SAND price to rise.

Sandbox is at a crucial moment

During this pullback, the SAND price fell approximately 70.5% as low as $ 4.28 before recovering. It is currently trading at $ 5.27.

After rejecting the middle line of the trading range (Fib 0.5) and the downtrend line, the SAND is showing signs of upward movement. Assuming the sandbox hits a higher high above $ 5.50 it would confirm the start of an uptrend.

On that condition, investors can expect SAND to retest $ 6.77. An increase from $ 5.27 to $ 6.77 would result in a 30% gain.

SAND / USDT 4-hour chart | Source: TradingView

This bullish outlook is supported by Santiment’s 30-day market-to-realized value (MVRV) pattern, hovering around -1.7% or in an opportunity zone. This on-chain metric is used to determine the average profit / loss of investors who bought SAND in the last month.

A negative value indicates that most owners face losses and therefore the risk of a sell-off would be very low. In addition, a reversal usually occurs after the MVRV has been reset or is in the zone of opportunity. This development makes a return of the bulls more likely.

SAND. 30-day MVRV chart

While things are in favor of SAND from a technical and on-chain perspective, investors should be cautious and note that large deals worth $ 100,000 or more have fallen 79% from 1,830 to 476 since Nov. 24. This decline shows that large institutes or whales are not interested in SAND at current prices.

The main transactions of SAND

As such, any increase in selling pressure could push the sandbox price below the recent low of $ 4.28 and invalidate the bullish thesis. In this situation, the SAND can slide back to the lower end of the range at $ 2.52 where it will trigger another uptrend.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page