THORChain (RUNE) dropped – What now?

At the time of writing RUNE is being traded at the price of $12.38. It has had a decrease of 2.36% in the past 24 hours. RUNE is listed at 51st spot on coinmarketcap according to dominance i.e. 0.12%. In the past 24 hours the trading volume has decreased by 38.30%. RUNE created its ATH in May 2021 and reached a price of $28.201. During the crash, RUNE created a bottom around the price of $3.10 during the month of July from where it showed reversal. The last month had been bullish for the price and has shown a gain of about 60.09%.

Technical Analysis THORChain (RUNE)

On the monthly time frame, we can see that the Rune had shown a great increase over the period of a few months. This called for a correction of the price which it did and mitigated the impulsive move to point 61. But this month a bullish engulfing candle has formed. The anatomy suggests that this calls for another correction of this monthly move but overall the sentiment is bullish for the moment.

On the weekly timeframe, we can see that the price had failed to create a lower low and last week’s candle was enormous with the huge amount of momentum and with potentially no wicks.

Moving on to the daily timeframe we can see that the price had a sudden shift in the structure before the crash and shifted its structure from the bottom which is marked by the red zone. This structural shift was impulsive. Due to the sharp move towards the downside, it was expected of the price to tap in the imbalance zone but it failed and created a double top leading to a corrective phase of the structural shift move. This has resulted in the presence of liquidity on the upper side. Now the recent impulsive move also calls for correction which will eventually result in the price to drop and hit the order block after the major zone has been touched.

Future Predictions

RUNE has surely gained the attention of a lot of investors. As result traders and hodlers are keeping an eye on RUNE. For the long-term investment plan, RUNE is surely a good investment. For a one-year investment plan, the price is to be expected to reach a level of $21.230 and for a five-year plan it is to reach around $54.184.