Render (RNDR) price is up 12% since dropping below $1.63 on April 22nd. But despite the rebound, the on-chain data is showing multiple red flags indicating an imminent bearish turn of events.
Despite a recent price bounce between April 22nd and 25th, Render Network has struggled to attract the attention of large investors. With daily drawdowns also experiencing a downturn, is the RNDR on the verge of a major price correction?
Render is struggling to attract major investors
According to on-chain fundamental data, crypto whales seem to be moving away from the Render Network in the past week, despite a recent price rebound.
IntoTheBlock’s chart below shows a steady decline in the number of large transactions of $100,000 and above involving RNDR. Between recording a recent high of 87 deals on April 17, it dwindled to a whopping 13 including the RNDR at the end of April 24.
It is a bearish signal when there is a decrease in large transactions occurring within the network. Usually, this indicates that crypto whales may lose interest in the asset or move their funds elsewhere.
Unless the Render network sees a significant growth in the number of whale transactions, holders can expect lower prices in the coming days.
Render Daily Traction is diminishing
On a more downward note, Render has also struggled to keep its core users interested in the past week. Since a recent local high of 1,074 on April 17, the number of daily active users has fallen 65% to 373 at the end of the day on April 24.
Daily Active Addresses (DAA) measures the number of unique wallet addresses that send or receive transactions on a given blockchain network within a single day.
A steady decline in DAA may indicate that users are losing interest in the underlying project. As noted above, this can reduce demand and increase downward pressure on the RNDR price.
RNDR Price Prediction: A bearish reversal to $1.58
According to IntoTheBlock’s Break-Even Price Distribution data, bears are likely to charge Render a cut to $1.58. Currently, the 1860 addresses which bought 65 million RNDR are expected to provide some support in the $1.65 parity region.
If this support folds as expected, Render price is likely to drop to $1.58. However, at this support level, the upward pressure from the 1300 break-even address containing 25 million RNDR, could prevent further decline.
However, the bulls can negate this pessimistic narrative if the RNDR price can break above $1.90. But as mentioned above, 1860 addresses with 65 million tokens in this price range could present some resistance. But if the resistance level fails to hold, the bulls can expect a rally towards $2.
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate and unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.