The post Plasma (XPL) Price Under Strain as Volume Surges—Could a 20% Pullback Be Imminent? appeared first on Coinpedia Fintech News
Plasma (XPL) has entered a volatile phase, with prices retreating even as trading volume spikes over 60% in the past 24 hours. Currently, XPL trades near its short-term support zone, and a failure to hold these levels could trigger a 20% downside move toward the next liquidity pocket. Conversely, sustained buying interest above key resistances might reignite a short-term recovery toward $0.038–$0.042. This sharp divergence has sparked debate among traders—is this a sign of major profit-taking or the early stage of a deeper correction?
Will Plasma (XPL) Price Make-it or Break-it?
Plasma’s price has faced renewed downward pressure despite a sharp surge in trading volume of over 60% in the past 24 hours. This divergence between price and volume indicates an active redistribution phase, where selling intensity has accelerated even as market participation grows. Such patterns often emerge when short-term traders or early holders exit positions, creating heightened volatility around key support levels.
The Plasma price has been strongly defending the local support zone between $0.85 and $0.88, with the crucial support at $0.89. However, the current trade dynamics appear to be favoring the bears, as the MACD suggests rising selling pressure. Previously, bulls mounted enough buying pressure to keep the rally above the support zone; however, the MACD turned bearish before entering the positive range. This suggests the XPL price could be primed for a significant pullback.
Now the question arises: with no strong support nearby, how low can the Plasma price go?
As seen in the above chart, the local resistance is near the 50-day EMA at $1, and reaching this zone is important for the rally to remain within a bullish range. Nevertheless, the current trade dynamics suggest the price could slip to the local support at 0.382 FIB at $0.7088. As the volume has surged, the selling pressure could be exhausted in a short while. Following this, the Plasma (XPL) price could experience a strong rebound; however, maintaining the range above $1 may keep the bullish momentum going.