Illuvium (ILV) has experienced a sharp price increase of 60% over the past 24 hours, currently trading at $24.41.
The surge in price comes ahead of the much-anticipated Illuvium Pro League 2025, set to begin on August 16. Investors have flocked to the altcoin in response, but the bullish spike has also triggered significant selling.
Illuvium Could Be Looking At Decline
The Relative Strength Index (RSI) for ILV currently sits above 70.0, placing the token in the overbought zone. This suggests that a price reversal could be imminent. Historically, when the RSI nears or crosses this threshold, ILV’s price has seen pullbacks, albeit short-term.
As the excitement around the Illuvium Pro League cools, the overbought condition could lead to selling pressure. The elevated RSI signals that the asset is potentially due for a correction, especially given the fast rise in price. This can lead to investors cashing out and triggering short-term declines.
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Illuvium’s age consumed metric, which tracks Long-Term Holders (LTH) behavior, has spiked recently, marking the largest increase in the last three months. A high age consumed metric signals that LTHs are selling their holdings, capitalizing on the price surge.
Given the significant impact LTHs have on ILV’s price due to their large holdings, their selling activity can put downward pressure on the altcoin.
ILV Price Skyrockets
ILV price shot up by nearly 60% in the last 24 hours, currently trading at $24.41. The altcoin crossed the $24.19 resistance and is facing the barrier of $27.01.
Marking a 6-month high, ILV will likely not continue its uptrend, considering the above-mentioned factors. The altcoin could end up falling back down to $19.56, invalidating the bullish thesis and wiping recent gains.
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On the other hand, if the altcoin notes surprising demand it could make its way past $27.01 to head towards $30.00. This would invalidating the bullish thesis and enable the altcoin to secure its recent gains.
source : https://beincrypto.com