RavenDAO’s RAVE token misplaced over 98% of its worth over the weekend, and the hourly chart now warns of one other large drop within the coming days.
Key takeaways:
- RAVE’s technicals places the value in place for an additional 58% drop in April.
- Market manipulation claims are including to the draw back dangers.
RAVE chart hints at 50%-plus drop subsequent
On the hourly chart, RAVE continues to commerce inside a descending channel, with decrease highs and decrease lows forming between two downward-sloping pattern traces.
As of Monday, the spot worth was retreating after testing the channel’s higher boundary, an indication that sellers stay energetic on rallies. If that rejection holds, RAVE might slide towards the channel’s decrease pattern line within the close to time period.
RAVE/USD hourly chart. TradingView
A Fibonacci extension drawn from the newest bounce on the decrease boundary to the latest pullback from the higher boundary factors to the 1.618 extension as the subsequent bearish goal.
That stage is available in close to $0.30, implying an extra 55%–58% decline from present costs in April or by Could.
Notably, the identical setup appropriately anticipated Sunday’s drop towards $0.49, reinforcing the channel’s relevance.
RAVE/USD day by day chart. Supply: TradingView
In the meantime, the 20-hour exponential transferring common at $0.96 and the 1.0 Fib line at $0.94 proceed to cap upside makes an attempt. Until the bulls reclaim these ranges decisively, the broader bias stays tilted to the draw back.
Market manipulation claims add to RAVE dangers
RAVE’s technical weak point is unfolding alongside mounting allegations of market manipulation, with market watchers evaluating it to the LUNA and WAVES pump-and-dumps from 2022.
Onchain investigator ZachXBT described the token’s explosive rally and subsequent collapse as a “blatant” pump-and-dump, allegedly orchestrated throughout main exchanges together with Binance, Bitget and Gate.io.
Supply: ZachXBT
He flagged roughly 23 million RAVE tokens (value round $23 million) transferring from a team-linked multisig pockets to Bitget deposit addresses shortly earlier than a 40% flash crash, and has since maintained a $25,000 bounty for whistleblowers.
RaveDAO has denied any involvement.
Associated: FOMO, lax guidelines are fueling the crypto crime supercycle
Nonetheless, ZachXBT has doubled down on his claims, arguing that over 90% of the token’s provide could also be managed by insiders, elevating issues about liquidity focus and worth management.
Supply: X
Just a few days in the past, RaveDAO revealed plans to promote parts of unlocked tokens to fund operations, advertising and marketing and hiring.
The staff stated it’s contemplating price- or performance-based lock mechanisms to higher align incentives, including that “constructing a motion requires sources.”