Sandbox price likely to surge 15% as SAND dips into crucial support level
|- Sandbox price is preparing for a quick reversal as it bounces off the $4.43 to $4.81 demand zone.
- Investors can expect a 15% run-up to $5.52 that could extend to $6 or higher if buying pressure persists.
- A breakdown of the demand zone’s lower limit at $4.43 could invalidate the bullish thesis.
Sandbox price presents a good trading opportunity after the recent flash crash on January 5. The downswing has knocked SAND to dip into a crucial support level that could serve as a platform for further uptrend.
Sandbox price ready for recovery
Sandbox price has seen a considerable descent from its all-time high at $8.48 on November 24, 2021. The resulting pullback has stabilized around the $4.81 support level over the past month, and the January 5 crash has also bounced off the same barrier.
Interestingly, the demand zone, extending $4.43 to $4.81, coincides with the aforementioned support barrier. Therefore, investors can open a long position for SAND at the retest of the $4.43 and expect the Sandbox price to trigger a 15% run-up to $5.52.
If the bulls go on a stampede, SAND could slice through the said resistance barrier and make its way to $6, representing a 25% ascent from the demand zone. Holders can take profits at either of these levels.
In a highly bullish case, the SAND price could climb higher to sweep the buy-stop liquidity resting above $7.
SAND/USDT 4-hour chart
On the other hand, the bullish thesis Sandbox price will face invalidation if the selling pressure pushes SAND to produce a four-hour candlestick close below $4.43. This development will set a lower low, hinting at a potential shift in a trend that favors bears. Investors can place their stop losses just below the said level.
Such a situation could worsen, crashing Sandbox price to the immediate support levels at $4.08 or $3.88.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.