Is It Time to Buy KAS? Kaspa Price Surges 4% as Institutions are Preparing to List KAS

Highlights:

• Kaspa’s price has skyrocketed 4% today as trading activities surge.
• Analyst sheds some light on why the Kaspa price is being manipulated.
• With the token undervalued, will the bulls initiate a buy-back campaign?

The Kaspa price is in focus today, as it has increased 4% with the KAS.USD trading at $0.1135 during the European trading sessions. Its 24-hour trading volume has notably surged 7% to $132.89 million, suggesting an increase in market activity. Despite the surge, KAS is down 12% in a week and 29% in a month; however, the token has soared 126% in a year. 

Meanwhile, crypto analyst Csm19XD has shed some light via X on why the Kaspa price is being manipulated now. In the Kaspa price chart analysis, the charts show a consistent downtrend in KAS prices throughout the second half of 2024.

What’s unusual is that the open interest—the total number of outstanding contracts—remains high and even increases during this price decline. When you see high open interest in a falling market, it typically means either more traders are betting on further price drops or long-term holders are buying more to lower their average entry price.

Institutions are preparing to list $KAS.

Data indicates market manipulation is taking place, here is why 📊👇

📌 There is a noticeable downtrend in $KAS prices in the second half of 2024. However, open interest—the total number of outstanding contracts—remains high and even… pic.twitter.com/jwNHuHE2YP

— Csm19XD 𐤊 (@Csm19XD) October 30, 2024

Kaspa Statistical Data

Based on CoinmarketCap data:

• KAS price now – $0.1135
• Trading volume (24h) – $132.89 million
• Market cap – $2.84 billion
• Total supply – 25.04 billion
• Circulating supply – 25.04 billion 
• KAS ranking – #30

Bears Tighten the Grip in the Kaspa Market

The Kaspa price took a nosedive in October, roaming in the selling territory as it currently trades at $0.11. The token has shed about 30% in October, trading within the confines of a descending parallel channel. Meanwhile, KAS made headlines as Grayscale added the token to its list of “Assets Under Consideration.” With the developing highlights, will this be enough to push Kaspa out of the undervalued region?

$KAS on Grayscale Radar 🐋@KaspaCurrency on Assests Under Consideration

You know the potential
So there's nothing to consider Kaspa going straight into the Grayscale Product Suite 💚

Bullish 📈.

Share and Let the World Know 🌎 https://t.co/jR4WQM43rF pic.twitter.com/tbneqOHj78

— CryptoDoc (Gem Hunter💎) (@cryptodoc_) October 30, 2024

The bears have entirely taken the reigns, as the death cross pattern on the daily chart affirms the bearish grip. This pattern appears when a long-term moving average like the 200-day SMA moves above a short-term moving average like the 50-day SMA.

Additionally, the Kaspa price is trading below key bullish indicators, tilting the odds in favor of the bears. In this case, the $0.1455 and $0.1515, coinciding with the 50-day and 200-day, respectively, act as immediate resistance levels, cushioning the bulls against upward movement. 

The Relative Strength Index has trended downward for the second half of the year and declined below 50, validating the breakdown. Currently, the RSI sits at 37.19, leaning the odds towards the sellers. However, with the token undervalued, the buyers may commence a buy-back campaign, which could trigger a rally soon.

The Moving Average Convergence Divergence (MACD) worsens the outlook, sitting in negative territory. Moreover, the blue MACD line has crossed below the orange signal line, suggesting a sell signal. In this case, traders are inclined to continue selling unless the MCAD trend changes.

Kaspa Price Outlook?

Based on the daily chart timeframe, KAS/USD is roaming in the selling territory, with the buyers nowhere to be seen. However, with the token undervalued, the buyers could buy the dip, causing the Kaspa price to rebound. On the upside, if a strong tailwind builds behind KAS, the bulls would obliterate the $0.1455 resistance, invalidating the bearish thesis.

A breach and break above the $0.15 resistance could ignite a bullish rally to $0.17 in a highly bullish case. On the downside, if the $0.11 support fails to hold, the price could dive further, reaching $0.09.