Jupiter (JUP) Breaks Out From Its Resistance Level, Eyes $1

Jupiter (JUP) has been garnering significant attention from crypto enthusiasts lately following its impressive performance on the charts.

Jupiter (JUP) has been a hot topic in the crypto sphere lately, especially after its impressive 18% upside move on 26 May.

This rally helped the asset to finally break the key resistance at $0.585, a level that had previously rejected the asset multiple times.

However, this wasn’t just any typical horizontal resistance level. During its price fluctuations over the past month, the asset formed a bullish inverted head and shoulders pattern, with the neckline aligning with this resistance level.

Therefore, this breakout is not only a breach of horizontal resistance but also a bullish pattern breakout – turning the asset bullish and opening the path for a massive upside rally.

$5 million worth of bullish bets according to Coinglass

Given the prevailing market sentiment and JUP’s performance, traders betting on long positions have risen significantly.

According to data from on-chain analytical platform, Coinglass, traders have built $4.93 million worth of long positions around $0.578 – a level that now appears to be an over-leveraged zone.

On the upside, $0.626 is another zone where traders have opened $691k worth of short positions.

Beyond this, there appeared to be no significant trader bets that could act as a hurdle to JUP’s upward momentum at press time.

Image: Coinglass

Expert views and current price momentum

Following JUP’s bullish breakout and a shift in sentiment, one crypto expert shared that JUP has the potential to hit $1 in the coming days.

At press time, JUP was trading near $0.61, having recorded a price hike of over 18% in the last 24 hours. During the same period, its trading volume climbed by 185%, indicating heightened participation from traders and investors.

Jupiter’s eyes on DeFi lending space

Such upside can be further strengthened by Jupiter’s rising decentralized finance (DeFi) activity and its announcement to launch Jupiter Lend and other DeFi products.

According to a recent report by AMBCrypto, Jupiter has been planning to expand its lending sector for weeks now. This might explain its collaboration with Fluid and its challenge to the current leaders in this space.

$3.77 million worth of JUP inflows into exchanges

Thanks to the uptick on the charts, some investors and holders took advantage of their recent gains. They did so by dumping some of their JUP tokens.

On-chain tools revealed that following the latest rally, $3.77 million worth of JUP tokens flowed into exchanges – a sign of a potential offload by investors and long-term holders.

Image: Coinglass

This potential dump is now raising questions about whether JUP will maintain its upside rally or fall off.

Jupiter (JUP) price action and key levels

At the time of writing, AMBCrypto’s analysis revealed that JUP appeared bullish as it had broken a key horizontal level, along with the neckline of a bullish inverted head and shoulders price action pattern.

However, this breakout is not yet confirmed. It will only be validated once JUP closes a daily candle above the $0.61-level.

Source: Trading View

Based on its recent price action, if JUP sustains this upside rally and closes a daily candle above the $0.61-level, there is a strong possibility that it could note a significant rally soon.

According to the daily chart, the asset could surge by 70% and potentially cross the $1-mark. However, the $0.76-level may act as a hurdle during this rally.

On the contrary, if JUP fails to sustain its upside momentum and closes a daily candle below the neckline or horizontal level, history may repeat itself. Hence, JUP could see a price decline of 15%, potentially hitting the $0.468-level in the future.