Movement Labs suspends its co-founder, Rushi Manche, for alleged links to the MOVE token dump

Following this development, Coinbase announced that it would suspend the trading of the token on the 15th of May.

Movement Labs' token saw a 27% price correction to reach $0.15 on the 7th of May after Coinbase announced the suspension of the token's trading on the 15th of May.

This followed the development of the Movement Labs' co-founder, Rushi Manche, being put on administrative leave for alleged links to the MOVE token dump. A

recent lower high was formed at $0.258, while the former support level at $0.2175 was seen bearing down on the buyers.

The sellers' strength was waning, and the buyers might succeed in breaking out at this apex at press time.

However, even if this resistance level were to be breached, buyers should not be hasty in turning bullish. The OBV was trending downwards like the price and formed a new low on the 7th of May with the new low in price.

Similarly, the Awesome Oscillator outlined that bearish momentum was prevalent.

The 78.6% Fibonacci retracement level was at $0.23, and it had rebuffed Movement token bulls, at the time of writing.

The OBV was resurgent since the 7th of May, and was about to form a new high. The Awesome Oscillator was above the zero line, signaling bullish momentum.

Yet, the higher timeframe takes precedence here, and swing traders should remain wary of a bearish reversal.

A deep look into the 2-week liquidation heatmap from Coinglass highlighted the $0.255-$0.265 region as an attractive magnetic zone.

AMBCrypto analyzed other lookback periods, such as 1-month and 3-month, and found that the $0.21 region had also been a sizeable liquidity cluster.

The liquidation levels to the south were sparse. Hence, from a liquidity point of view, a move southward appeared unlikely. However, as the OBV showed, there was not sufficient demand to justify the expectation of a rally to $0.26.

Overall, traders and investors can expect the MOVE downtrend to continue. The rest of the market was bullish, and altcoins were performing exceedingly well.

This could spur MOVE beyond the $0.252 local resistance, but the evidence at hand did not point toward an explosive upward move yet.