SAND is likely to continue its climb thanks to continued demand. The price levels that investors should consider for short-term profit-taking.
The metaverse and NFT projects may receive renewed interest in 2023 and so it is necessary to explore their potential. One such project is The Sandbox, which recently made a major development-related update.
But more importantly, its native token SAND started this month on an optimistic note.
Are your positions flashing green? Check out the SAND profit calculator
A recent WhaleStats alert revealed that SAND ended the week by joining the list of the top 10 most bought tokens by ETH whales. This was observed in the past 24 hours as it went to press and it highlighted the existing demand that has propelled SAND over the past few days.
Check out the top 100 whales here: https://t.co/N5qqsCAH8j
— WhaleStats (crypto whale tracking) (@WhaleStats) January 7, 2023
The surge in demand for ETH whales is quite an interesting observation given SAND’s latest performance. The token rallied 24% in the first week of January.
The demand from ETH whales increased the likelihood of SAND extending its bullish momentum for another week. But this outlook may be tempered by potential profit-taking as the price approaches profit-taking zones.
Playing in the SAND
SAND was trading at $0.45 at time of writing and an extended rise could push SAND into the $0.50 range. The latter could be considered an important price zone for the token as it comes into contact with the 50-day moving average.
The price will also be within the 50% Relative Strength Index (RSI) level, if not above it. This retest likely increases the likelihood of near-term profit-taking, and thus the possibility of a bearish retracement.
Buying pressure from ETH whales could boost investor sentiment and support an extended rally. Additionally, The Sandbox recently announced the imminent launch of a new metaverse game called Game Maker 0.8. This announcement may also have contributed to favorable investor sentiment.
A first glimpse of .… 👀
🎮 New multiplayer gameplay features
🔦 New lighting and visual effects features
🚨 Video and audio streaming
⚔️ Gear and wearable support in social hubs
Dive deeper 👇🧵 pic.twitter.com/zfCvB5EJO0
— The Sandbox (@TheSandboxGame) January 5, 2023
Can SAND maintain its bullish momentum?
SAND’s ability to continue rallies ultimately depends on whether it can get enough demand. The inventory distribution metric shows that most of the major address categories are still contributing to rising pressure.
This observation supported the expectation of continued bullish momentum.
A 209.93x increase on the charts as SAND hits ETH’s market cap
There are other signs that support the same result. For example, the supply of top addresses recently registered a significant increase, confirming that whales have been buying. The Sandbox also started January with a wave of development activities.
These observations may further bolster investor sentiment in favor of bulls. Nevertheless, investors should keep an eye on the aforementioned take-profit zones.
This post SAND could see an extended rally unless these holders change course
was published first on https://ambcrypto.com/sand-could-benefit-from-an-extended-rally-unless-these-holders-change-course/