POPCAT may hit $1, here’s why

In this struggling cryptocurrency landscape, the popular Solana-based PopCat (POPCAT) has formed a high price action pattern and is estimated to reach $1. On September 17, 2024, with its impressive performance, POPCAT outperformed top meme coins including Dogecoin (DOGE), Shiba Inu (SHIB), Pepe (PEPE) and many others.

POPCAT price momentum

At the time of publication, POPCAT is trading at $0.75 and has experienced a price increase of over 10% in the last 24 hours. During the same period, trading volume increased by 10 percent, reflecting the market's recovery due to increased participation of traders and investors.

POPCAT technical analysis and upcoming levels

According to expert technical analysis, POPCAT looks bullish and is currently at a critical resistance level at the $0.80 level. A possible reason for this bullish attitude is the formation of a bullish cup and handle price pattern on the daily time frame.

If POPCAT breaks this resistance level and closes the daily candle above the $0.80 level, there is a good chance that it will rise by 25% to the $1 level in the coming days.

Bullish on-chain parameters

Nowadays, this bullish attitude is further supported by chain metrics. Coinglass POPCAT's Long/Short ratio stands at 1.032 (a value above 1 indicates market sentiment among traders).

Additionally, open demand for POPCAT futures increased by 10% over the past 24 hours and 4% over the past four hours. This indicates higher interest rates at a time when interest is likely to grow among traders.

Often, traders and investors use open interest and a long/short ratio greater than 1 when building long or short positions. Currently, 50.72% of bulls hold long positions while 49.28% hold short positions, according to Coinglass data.

However, this breakout thesis will only hold if POPCAT closes the daily candle above the $0.80 level, otherwise it may fail.