- Popcat was signaling a potential reversal to the upside as market sentiment turned positive.
- The memecoin could dip to a 5-month low if it fails to hold above $0.55.
Since hitting $0.98 nearly two weeks ago, Popcat [POPCAT] has experienced strong downward pressure. Over this period, the memecoin has dipped to a local low of $0.49. However, over the last 24 hours, Popcat has signaled a potential trend reversal.
At the time of writing, Popcat was trading at $0.5581, marking a 2.29% increase over the past day.
Before these gains, the memecoin had been on a downward trajectory, dipping by 30.56% on weekly charts and 49.66% on monthly charts.
With the memecoin recording moderate gains on daily charts, the question remains whether Popcat can sustain this trend and avoid further losses.
What Popcat’s charts suggest
According to AMBCrypto’s analysis, Popcat’s downward momentum is diminishing as buyers are entering the market.
As a result, upward momentum is starting to build, and market sentiment has turned positive.
Source: Tradingview
AMBCrypto observed this upward strength through a bullish crossover that emerged 48 hours ago. The Stoch RSI also shows a crossover, indicating the current trend is weakening.
This is confirmed by the fact that ADR has remained above 1 and surged to 1.37. When ADR is above 1, it signals that current gains are starting to outweigh losses, reflecting more capital inflow.
Source: Santiment
Looking further, Popcat’s market sentiment has turned positive after four days of negative trend. As such, weighted sentiment turned positive 48 hours ago.
This shows that more market participants have a positive perception of the memecoin and see a potential reversal.
Source: Coinglass
Additionally, Popcat is currently seeing a high demand for long positions. In fact, long position holders are dominating with 51% of the total.
When longs dominate, it suggests that most investors are bullish and expect price gains.
Source: Santiment
This demand is further confirmed by a positive Funding Rate aggregated by exchanges. It has remained positive over the past week, signaling that traders are paying a fee to hold their trades during market downturns.
Read Popcat’s [POPCAT] Price Prediction 2024–2025
With positive sentiments starting to enter the market, Popcat must hold above the $0.55 support level. If this level holds, the memecoin will attempt to reclaim the $0.82 level.
However, a breach below this level will push prices down to $0.43.
