Sandbox price could crash 20% as SAND fails to set a higher high
- Sandbox price attempted to set a swing high above $5.64, but failed.
- The resulting downswing is likely to shatter the $4.76 support level and revisit the $3.88 barrier.
- If bulls push SAND to produce a higher high above $5.64, it will invalidate the bearish thesis.
Sandbox price failed to breakout higher after consolidating between two levels recently. As a result, SAND is retracing to a crucial support level and is likely to continue heading lower.
Sandbox price and last chance at recovery
Sandbox price has been producing lower highs since November 24. From December 6 to December 12, SAND set up three equal highs at $5.64, suggesting the evolution of a consolidation. The December 15 rally attempted to produce a higher high but failed. Investors can now expect Sandbox price to continue its descent.
In this downswing, SAND will encounter the $4.76 support level, a breakdown of which will seal its bearish fate, triggering a Sandbox price crash of 18% to $3.88. In total, this correction will represent a 21% pullback from the current position - $4.95.
If the selling pressure continues to build Sandbox price will reach $3.18, where investors can expect the altcoin to stabilize.
SAND/USDT 4-hour chart
On the other hand, if the retracement witnesses buying pressure around $4.76, there is a chance buyers may make a comeback. Sandbox price needs to produce a four-hour candlestick close above $5.64, to reassert bullish dominance.
This development will not only invalidate the bearish thesis but also set the stage for a retest of $6.07.
In a highly bullish case, SAND could revisit the $6.75 hurdle, indicating a 20% ascent from the $5.64 support floor.
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
