Plasma (XPL) crashes 81% to a new all-time low | Credit: Hameem Sarwar
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Key Takeaways
XPL price jumps 13% as bullish momentum returns after correction.
AO and CMF confirm capital inflows and fading bearish pressure.
Here is what a break above $0.65 could do to the Plasma crypto.
Plasma (XPL) price has staged a strong comeback this week, rebounding after a prolonged sell-off. Over the past 24 hours, the cryptocurrency’s market value has increased by 13%.
Interestingly, the XPL price surge follows a milestone, as Plasma has disclosed that it has processed over $50 billion in USDT transfers.
Amid this development, sentiment has turned bullish for the cryptocurrency, with signs that it could trade higher.
Plasma Sees Bullish Momentum
On the 2-hour chart, XPL’s Relative Strength Index has rebounded from the oversold zone at 30 and now sits at 47.69, nearing the neutral zone.
This movement signals a gradual return of bullish momentum as traders start reaccumulating around key support levels.
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The Money Flow Index (MFI) has climbed above its neutral zone at 50 and currently stands at 59.70, reflecting stronger buying pressure.
This rise in MFI highlights increasing confidence as liquidity flows back into XPL after its major correction. Interestingly, this also came as XPL’s price broke above the upper trendline of a descending triangle.
If momentum holds, XPL’s price could reach its immediate resistance at $0.66, marking a short-term recovery zone before testing stronger resistance ahead.
Milestone Boosts Demand
This growing confidence aligns with Plasma’s latest announcement on its official X (formerly Twitter) handle.
“In the two weeks since launch, Plasma has processed $50B+ in USD₮ transfer volume, fourth only to Tron, Ethereum, and BSC.” The project stated.
This achievement places Plasma among the top blockchain networks for stablecoin transactions, reigniting investor interest and suggesting that. XPL’s price could be gearing up for a broader bullish reversal.
XPL Price Targets $1
On the 4-hour chart, the Awesome Oscillator (AO) reads -0.024, with green histogram bars, indicating a steady shift toward positive territory as bearish momentum wanes.
This suggests that buyers are gradually taking back control after its consolidation period.
Furthermore, the Chaikin Money Flow (CMF) indicator supports this bullish picture, as it sits at 0.09 above the neutral line.
This reading confirms growing buying pressure and consistent capital inflow, indicating that the market is regaining confidence in the asset’s short-term potential.
The Fibonacci retracement levels indicate that the XPL price is approaching the 0.236 level at $0.65, while currently trading at $0.49 at press time.
A decisive breakout above this could accelerate bullish momentum, driving prices toward the 0.382 Fib level at $0.85. If buyers sustain pressure beyond $0.81, the next target could be reached at the 0.618 Fib level, which is approximately $1.17.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
