Crypto enthusiasts are buzzing about SuperRare (RARE) as it’s taken a wild 50% leap in just the last day! We’re seeing RARE prices hit levels not seen in almost two months. This dramatic surge has sent its Relative Strength Index (RSI) soaring into overbought territory – a first since November 2024 – signaling some seriously strong positive momentum.

On top of that exciting price action, RARE has also powered right through the Ichimoku Cloud, hinting at a possible shift in how the market feels about it. Interestingly, there aren’t any big news events driving this move, so traders are now keeping a close eye on important support levels, just in case we see a quick pullback.

RARE’s RSI Flashes ‘Overbought’ for the First Time in Months

SuperRare’s Relative Strength Index (RSI) has experienced a striking jump – skyrocketing from 35.8 yesterday all the way to 81.2 today. This surge perfectly mirrors the strong upward movement in its price.

This rapid climb really highlights some intense buying pressure, as RARE has rocketed from near ‘oversold’ conditions right into ‘overbought’ territory.

Moves like this definitely scream strong bullish momentum, but they also beg the question: can this rally keep going, or is a bit of a breather (a pullback) on the horizon?

Just a quick reminder, the RSI is like a speedometer for price changes. It runs from 0 to 100. When it dips below 30, it’s often seen as ‘oversold,’ and above 70, it suggests ‘overbought.’

With RARE’s RSI now hitting 81.2, it’s officially in overbought land for the first time since November 2024, marking its highest point in seven whole months!

This overbought signal could be a sign that the buying frenzy might be running out of steam. It raises the chance we could see some consolidation, or even a price dip, unless buyers keep piling in with serious demand to push prices even higher.

SuperRare’s Ichimoku Cloud Hints at Potential Momentum Shift Ahead

Zooming out to another indicator, SuperRare has made a powerful move above the Ichimoku Cloud, which could be telling us the trend is shifting gears.

After hanging out below the cloud for a few days, the price took off, confidently surging above that red resistance area. This breakout was backed by strong, bullish candles, really emphasizing the strength behind this upward move.

Even the Tenkan-sen (that red line on the chart) is now pointing upwards, lining up with this positive trend.

For those not familiar, in Ichimoku analysis, the Cloud (or Kumo) usually acts like a zone of support or resistance. Breaking above it often suggests a possible trend reversal to the upside.

The fact that RARE has now decisively broken through the cloud with such strong momentum is a clear signal that buyers are currently in control. This is the first time in months that RARE has managed to establish itself firmly above this cloud, suggesting a real change in overall market feeling.

However, because the cloud ahead still looks quite flat, traders will be watching closely to see if the price can hold above it, or if we might see a retest of that breakout level.

Is RARE Primed for a Sharp Correction?

Looking ahead, the SuperRare price chart is showing what could be a ‘golden cross’ forming. This happens when a shorter-term EMA crosses above a longer-term EMA and is often seen as a bullish trend signal.

If this golden cross becomes a reality, it could inject even more upward momentum, possibly propelling RARE towards the $0.10 mark – a level it hasn’t seen since mid-January.

The EMAs are gradually moving into position for this bullish setup, and if the buying interest stays strong, RARE could extend its rally as traders react to this positive signal.

However, it’s worth noting that there don’t seem to be any major news or fundamental reasons fueling this recent surge. This raises some eyebrows about how long it can last.

If the momentum fades and we start seeing a pullback, RARE’s first test of support could be around $0.062.

If the price breaks below that, we could be looking at a larger drop, perhaps towards $0.052 or even $0.046. That would be a significant correction, potentially wiping out over 50% of those recent gains.