Kusama: Factors why KSM is struggling to find ample trading volume
The Kusama network’s native cryptocurrency, KSM has been trading within a falling wedge pattern since the second half of 2021. However, it pushed out of that pattern at the end of last week, but the results have been underwhelming.
KSM has been on an overall bearish trajectory since November 2021. It bounced off its descending resistance line on 8 November, marking the start of its biggest sell-off. The price retested the same resistance line on 20 April before the bears could extend their dominance. It hovered just above the support line between 11 May and 10 June before breaking below, signifying support weakness.
Low selling volumes have so far limited KSM’s downside, as well as its upside. This is despite breaking out of the support and resistance range. As a consequence, the price maintained a lot of sideways performance in the last few days. KSM traded at $47.8 at press time.
Source: TradingView
KSM’s relatively flat performance has taken place despite the significant accumulation indicated by the MFI. The RSI also registered some upside but failed to push beyond the neutral 50 level. The limited price action reflects the lack of investors’ confidence, as well as the prevailing market uncertainty.
Source: TradingView
Despite KSM’s current predicament, a recent update from the Kusama team provided insights into what they have been working on. It also provides insights into what to expect moving forward.
<p lang=«en» dir=«ltr» xml:lang=«en»>Tune in to @PolkadotDecoded to hear @MomentumXYZ's @christelsieling with a deep dive into the Kusamaverse.Explore a new way to navigate, connect, and contribute to the ecosystem, and share your input in an interactive session on all things Kusamaverse:https://t.co/i1UtRVFN6W
— kusama
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