Today, January 25, 2024, the overall cryptocurrency market appears to be in trouble. Amidst this, Jupiter’s native token, Solana-based decentralized exchange JUP, is defying the market trend with an impressive price gain. Over the past 24 hours, this massive price surge has attracted the attention of traders and investors.
The reason for the Jupiter price surge
The potential reason for this massive rise is that Jupiter acquired a majority stake in Moonshot for an undisclosed amount. In a post on X (formerly Twitter), Jupiter’s pseudonymous founder “Meow” revealed the acquisition. Moonshot is a crypto-based company that allows users to buy and sell meme coins on iOS and Android.
This acquisition creates additional growth opportunities for the decentralized exchange.
$6.5 million in JUP inflow
However, amid this upward recovery, long-term holders and investors have abandoned their holdings, as reported by on-chain analytics firm Coinglass. Spot inflow/outflow data revealed that exchanges saw an inflow of JUP worth $6.5 million in the last 24 hours.
This massive influx on the stock exchanges indicates a potential sell-off by investors. Additionally, this could increase selling pressure, potentially leading to a short-term price correction and further price declines.
Current Price Dynamics
JUP is currently trading at around $1.01 and has seen a price increase of over 17% in the last 24 hours. During the same period, its trading volume increased by 95%, indicating increased participation from traders and investors compared to the previous day.
Jupiter (JUP) Technical Analysis and Upcoming Levels
According to expert technical analysis, the recent price surge has brought JUP to a strong resistance level at $1. Historically, this level has served as a selling pressure point. Since December 2024, JUP has reached this level twice, and each time it has experienced a price decline.
However, this time the sentiment has changed and with the recent acquisition, there is a strong possibility that JUP will break through this resistance level.
Based on recent price action, if JUP breaks through the resistance level and closes a daily candle above the $1.05 mark, there is a high chance that it will rise by 37% to reach the $1.40 level.
On the positive side, with a relative strength index (RSI) of 55, JUP still has enough room to continue its rally and reach the planned target.
