Market Direction

POPCAT struggles at all-time highs, pullback possible

Published: Oct 14, 2024

POPCAT tests all-time highs but shows bearish signs. Will we see a pullback to $1.10 or a breakout to $1.50? Check out today’s prediction.

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

A really nice bounce that ended up generating a new price all-time high.
What really stands out to us here is that we have a new price high, yet a lower high on the RSI (bearish divergence) and in overbought territory. Historically, this has a good track record for a more meaningful pullback.
Price is in an uptrend and the $1.00 to $1.10 area should be strong support for price, so we'd expect price to hold this range.
To the upside, $1.50 is the horizontal resistance.

8. POPCATUSDT daily chart showing key support levels, trendlines, RSI analysis, and price action indicating upward momentum

Next Support: $1.00 - $1.10
Next Resistance: $1.50
Direction: Bearish
Upside Target: $1.50
Downside Target: $1.10

Cryptonary's take

Charting-wise, the above is pretty simple and clear-cut. The bearish divergence in overbought territory at new all-time highs is usually a good recipe for a more substantial pullback. The hope here is that strong overall market momentum may help prevent a pullback or at least limit its downside.

We wouldn't be surprised to see POPCAT pull back to $1.10 if BTC were to pull back and retest $62k to $63k. We're not hugely confident in this outlook because of the current strong market dynamic, but we're reading off what the charts are telling us. Let's see.