GameStop Coin Price Prediction: The Fad Has Cooled but Upside Potential Stays

Summary:
• GameStop token price famously rose by four digit percentage points in mid-May, but it has cooled down. We tell you where $GME could head to.

GameStop Coin Price has been one of the most-talked-about in the crypto market in the last two weeks, skyrocketing by four-digit percentage figures. On May 13, for example, GME rose by 1636 percent in a single day, and it followed up the upsurge the next day with a gain of 76 percent. However, the token has declined substantially since mid-May, declining by 60 percent in the last seven days from its all-time high price of $0.0248.

The downward momentum is still strong, with the 24-hour trading volume down by 56 percent as of this writing. The return of Keith Gill, the stock trader popularly referred to as “Roaring Kitty”, and famed for leading Gamestop’s famous 2021 stock short squeeze, provided the spark that ignited the $GME market rally. Not only did this affect the crypto token, but it was also reflected in the stock market where shares of GameStock corporation surged by triple digit percentage points between late April and Mid May.

Meme coin communities are known to coalesce around ideas and causes of sentimental value. However, such fads typically fade away after a few days or weeks when the community lose interest and move on in search of the next “fun” project. Therefore, in the absence of supporting fundamentals, it is difficult to see a way back up for GameStop.

That said, the crypto market has been sending signals of a potential post-halving rally in the last week. Bitcoin is well inside the $70k territory, and Ethereum has rallied by more than 22 percent in the last 48 hours to breach the $3,700 mark. Under such conditions, I cannot overrule chances of a return to the upside by $GME.

Technical analysis

The momentum on the GameStop coin price is neutral-to –bearish-leaning, with the pivot at $0.00591. If resistance remains at that point, we are likely to witness the establishment of the first support at $0.00501. A continuation of control by the sellers will likely break that support, and potentially build the momentum to head lower to test $0.00440. Conversely, a move above $0.00591 will favour the buyers to take control. The upward movement will likely encounter the next resistance at $0.00661, and a break above that point will invalidate the downward narrative. Furthermore, that could result in extension of gains to test $0.00733.