Sushiswap dropped below the $6.5 support earlier today. According to analysts, SUSHI/USD is likely to move towards $5 over the weekend.
The overall market has been showing strong bearish momentum over the past 24 hours. Bitcoin is down 8 percent, while Ethereum is down 9.65 percent. The rest of the cryptocurrency market is also following this trend.
SUSHI/USD was traded in the $6.18 – $7.34 range and exhibited strong volatility in the last 24 hours. Total trading volume fell 7.4 percent to $188 billion. Its total market cap is around $792.8 billion, putting the cryptocurrency in 73rd place overall.
On the 4-hour chart, we can see Sushiswap price action trading below the $6.5 support as the bears are ready to push the market down again.
The overall market has experienced strong bearish momentum in the past weeks, following the highs in late May. SUSHI retested the previous high of $13.5 on June 3 but the bulls were unable to push the market higher.
Afterwards, SUSHI/USD started to decline again and fell to the previous low at around $9.50. Some initial support was found in this price area on June 8, but after some consolidation and a slight bounce, the bears dragged the market down. Support at $9.50 was retested as resistance on June 15.
Subsequently, the price dropped further to $6.50. After moving sideways above the support for a few days, SUSHI/USD broke below this support earlier today, signaling further downside testing of the market.
Therefore, it might be reasonable to wait for SUSHI/USD to move lower over the weekend and try to set even lower lows once the next major support level is around $5.
A drop can be expected for the next 24 hours as SUSHI is poised to drop again after a break below the $6.50 support. This price action development will drive SUSHI/USD further down over the weekend with the next target forecast around $5.