THETA Market Overview

At press time, 69.2% of top traders on Binance held long positions in THETA
THETA’s Relative Strength Index (RSI) stood at 43, indicating a potential for upside momentum

THETA, the native token of Theta Network, is gaining attention from crypto traders following the formation of a bullish price action pattern on its daily timeframe. At the time of writing, the larger cryptocurrency market appeared to be struggling, impacting major assets like Bitcoin, Ethereum, and XRP.

In the middle of such market uncertainty, potential factors supporting THETA’s bullish outlook include rising interest from traders and sustained accumulation by whales. These developments are occurring after the price reached a crucial level near the breakout point.

Technical Analysis and Key Levels

According to AMBCrypto’s technical analysis, THETA formed a descending triangle price action pattern on the daily timeframe, suggesting it is on the verge of a breakout. Recently, despite a price correction, it has successfully retested its crucial support from the 200 Exponential Moving Average (EMA) on the same timeframe.

Based on its recent price action and historical momentum, if the AI token breaks from this pattern and closes a daily candle above the $2.41 mark, it could potentially soar by 37% to hit the $3.33 level in the future. Notably, THETA’s Relative Strength Index (RSI) had a reading of 43, indicating potential for upside momentum.

Bullish On-chain Metrics

The altcoin’s bullish price action has attracted both traders and investors. According to the on-chain analytics firm Coinglass, THETA’s spot inflow/outflow data revealed a significant $2.02 million in THETA outflows over the last 24 hours. This outflow indicates that assets are moving from exchanges to long-term holders’ wallets—a sign of potential buying pressure and upside momentum.

In addition to long-term holders participating, traders on Binance have shown strong interest and confidence in THETA. The Binance THETAUSDT long/short ratio stood at 2.25 at press time, indicating strong bullish sentiment among traders. Currently, 69.2% of top traders on Binance hold long positions, while 30.8% hold short positions.

Current Price Momentum

At press time, THETA was trading near $2.21, having recorded a price decline of 1% in the last 24 hours. However, during the same period, its trading volume dropped by 5.75%, indicating lower participation from traders compared to the previous day.