In the past 24 hours, the cryptocurrency market saw a remarkable performance, notably the MON token surging by 19%. Investors speculate whether this signals a new bull run or a temporary spike, as technical indicators reveal a nuanced scenario.
While the majority of altcoins struggle to find clear direction, Monad has distinguished itself with a notable outperformance. This impulsive move allowed the price to break through several local resistance levels, triggering an immediate bullish sentiment within the community. This type of breakout tends to attract retail FOMO.
Trading volume exploded alongside the price, confirming that this surge is not anecdotal but supported by genuine buying pressure. However, in the volatile world of cryptocurrencies, a green candle of this magnitude necessarily calls for caution. The central question remains: do buyers have enough strength to transform this pump into a sustained trend?
Technical analysis of the MON chart reveals contradictory signals. On one hand, the market structure has notably improved, with increasingly higher lows and highs on short timeframes. This is the classic sign of an attempted trend reversal.
However, higher timeframes (HTF) show massive seller order blocks between $0.025 and $0.03. A bearish reversal when the price touches this level is more than probable.
Indeed, these order blocks are typically zones where institutions and smart money sell massively. They can therefore protect these levels by taking profits again when the price enters the resistance zone.
The sustainability of this rally will depend on Monad’s ability to break through this massive zone decisively. If the price manages to stabilize without suffering a violent retracement, this will validate the strength of the current movement. Conversely, a brutal rejection at these levels could send the asset back into a short-term bearish dynamic.
While the +19% performance is impressive, current volatility demands strict risk management. The market now awaits to see whether MON can consolidate its gains or if this movement was merely a technical bounce before another leg down. The next 48 hours will be decisive in confirming the validity of this breakout.
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Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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