- Summary:
- What is the outlook of the GMT price as it formed a dangerous triangle pattern on the hourly chart? We explain why a drop is possible.
Cryptocurrency prices have done well in the past few weeks as investors have embraced a more risk-on sentiment. The rebound has also mirrored that of the stock market, which has also rebounded. Amidst all this, the GMT price has done substantially better than other coins. According to Binance, the STEPN price is trading at $2.370, which is about 23,000% above its lowest level in March. As a result, its market value has risen to over $1.4 billion, making it the 89th biggest coin globally.
STEPN is a leading blockchain project that aims to help people lead healthier life by exercising. Its goal is to achieve this using the concept of non-fungible tokens (NFT) and rewards. The developers have also used GPS technology that allows it to track its users moves. After downloading and installing the app, users need to first buy their running sneakers in the form of non-fungible tokens (NFT). After this, these users are rewarded for every exercise action that they do, such as running and walking.
The GMT price has risen sharply because of its first-mover advantage in using blockchain technology in the fitness industry. This is one of the biggest sectors, especially in developed countries. For example, a study conducted in 2020 noted that the sector was valued at over $160 billion. Another reason why the STEPN price rose is fear of missing out (FOMO), as investors predicted that it will be the next big thing.
GMT price prediction
The spectacular rally of the GMT token has faded in the past few days. As a result, the coin has fallen by about 25% from its highest level on record. Along the way, the STEPN has formed what looks like a descending triangle pattern that is shown in green. It has also moved slightly below the 25-period and 50-period moving averages.
Therefore, the coin will likely have a bearish breakout in the near term as many investors take profit. If this happens, the next reference level will be at $1.777, the lowest level on March 31st. On the flip side, a move above the resistance at $2.5 will invalidate this view.
