Somnia recovers from profit-taking slump | Credit: Hameem Sarwar, CCN.
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Key Takeaways
Somnia’s price surged 16% in 24 hours, breaking out of its recent downtrend.
Weighted Sentiment has flipped positive, reflecting growing trader optimism.
The CMF is nearing zero, while the MACD indicator flashed a bullish crossover.
SOMI, Somnia’s native token, has recovered from its downtrend. Over the past 24 hours, Somnia’s price has increased by 16% amid a sideways market trend.
As a result of the bounce, SOMI is now 24% from retesting its all-time high.
CCN examines the potential in this analysis.
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Last week, shortly after launch, Somnia’s price surged to an all-time high of $1.84. However, within days, the token’s value slid to $1.13 as early profit-taking set in.
Now, the market appears to be bouncing back. On the 4-hour chart, SOMI has broken above the upper trendline of a falling wedge — a bullish reversal pattern that signals the end of a correction and the start of a potential new rally.
Looking at the same 4-hour chart, the Chaikin Money Flow (CMF) has recovered from its recent downtrend. It is flirting with the zero signal line, signaling that selling pressure is easing and capital inflows are beginning to balance out.
If the CMF manages to break decisively above zero, it would confirm that buying activity is gaining the upper hand, further strengthening SOMI’s bullish breakout from the falling wedge.
Should buying pressure intensify, Somnia’s price might test the resistance at $1.65, with support holding at $1.13.
Meanwhile, amid this, Weighted Sentiment around Somnia has flipped positive. This metric measures the balance between optimistic and pessimistic commentary across social platforms.
A positive reading suggests that traders are speaking more favorably about SOMI, which translates into stronger market confidence.
When sentiment turns bullish during a breakout, it can act as a reinforcing driver of price momentum. As such, traders who were hesitant on the sidelines may be encouraged to buy in. Hence, if this trend continues, Somnia’s price might trade higher.
SOMI Price Prediction: Higher
The 2-hour chart echoes the bullish outlook. SOMI’s price has broken above its resistance line, confirming fresh upward momentum.
Adding to the signal, the Moving Average Convergence Divergence (MACD) has printed a bullish crossover—its first since Sept. 8. This shift indicates that momentum is swinging back in favor of the bulls, potentially setting up SOMI for another leg higher.
Should bears fail to invalidate this move, Somnia’s price might breach the $1.58 resistance. In that case, the market value could hit $1.90.
In a highly bullish market condition, SOMI might rally all the way to $2.85. On the contrary, if selling pressure increases and demand fades, the cryptocurrency might drop to $0.96.
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.
