As 2021 draws to a close, SushiSwap (SUSHI) has been one of the top performers in the crypto market for the past week or so. The DeFi token is currently on a 7-day bullish period which has seen it gain nearly 35% in value over the same period. But can this dynamic continue? Before we get into the price analysis, here are some highlights:
At the time of writing, SushiSwap (SUSHI) had grown to double digits, trading at $ 10 and up 10% in 24 hours.
We expect the token to face major air resistance at around $ 10.88 over the next few days.
Despite the uptrend, the Relative Strength Index at the time of writing suggests the token is overbought, creating significant downside risk if investors decide to cash in their profits.
Data source: Tradingview.com
SushiSwap (SUSHI) – Price Analysis and Forecast
It’s been a good week for SushiSwap (SUSHI), no doubt about it. The coin went to double digits for the first time in some time. The next big challenge will be overcoming the overhead resistance at $ 10.88. If indeed this happens, we could potentially see SUSHI test its next resistance around $ 11.59 and consolidate around price if a breakout does not occur.
But a key risk factor is reading RSI. While most technical indicators look bullish, the RSI indicates that SushiSwap (SUSHI) is overbought. If investors decide to lock in earnings, SushiSwap (SUSHI) may experience significant selling pressure, which could cause a pullback to or around $ 7.8.
Should you buy SushiSwap (SUSHI)
The answer is yes. For long-term investors, SUSHI is a decent DeFi token to have in your wallet. But the near-term outlook suggests that we may see some volatility around SushiSwap (SUSHI) in the coming days. As such, for short-term bulls, this might not be the most ideal time to step in.
SushiSwap’s 7-Day Bullish Trend (SUSHI) brings gains of over 35% – price analysis and forecast below appeared first on Coin Journal.