Perpetual Protocol’s gains have touched double digits over the last 24 hours and the price is trading at a 1-month high. Healthy fundamentals and rising interest in altcoins have put PERP on the right path forward and a since breakout could bring PERP closer to $7.
Price-wise, PERP was amidst constant sell pressure since November last year as a massive downtrend took over on the chart. However, the trendline was broken on 29 March, paving way for more price growth. At the time of writing, PERP was trading at $5.3, its highest level in over a month.
Outside of the chart, the price was also driven by strong fundamentals. Dune Analytics showed that the daily trading volume has been steadily rising since 10 March. The figure hit a monthly high yesterday, climbing to $127.4 Million. Furthermore, the number of daily active traders on the platform has also climbed since the second half of the month.
Notably, Bitcoin’s price bottomed at $37,500 on 13 March and has climbed past several key levels since, fueling gains across the broader market.
Following an altcoin recovery, interest in altcoin perpetual has also been rising, with the ALTPERP trading pair up by 34% over the last two weeks. The same may have attracted more users to the Perpetual Protocol’s decentralized exchange, which is used by traders to buy Ethereum and other altcoin perpetuals.
PERP Price Direction
Moving back to the chart, PERP was looking bullish on most fronts. The candles were trading above their 50-SMA (yellow) and 20-SMA (red), suggesting healthy bullish momentum. Furthermore, readings on the RSI and MACD were both indicative of an extended rally.
Given the current health of the market, PERP was in a good position to overtake the $5.4-resistance and make way towards the next significant level at $6.8.
However, it must be noted that PERP’s movement would depend on the general state of the broader market. If Bitcoin does retrace over the coming days, PERP could follow the wider trend and shift lower, delaying a comeback towards $7.