Thorchain (RUNE) has broken out of a key resistance level at $5.613 and could reach $10 in the short term if it crosses $7.36.
In the long term, its price may reach $21 due to the rising demand of token swap protocols in the markets.
What is Thorchain (RUNE)?
Thorchain is a decentralized liquidity swap protocol that lets users swap cross-chain tokens without losing custody in the process.
Fundamental Analysis
The demand for RUNE in the market directly corresponds to the degree of bullishness in the markets. This is because the swapping of tokens is the highest among bullish markets as people try to maximize their yield by swapping across various tokens.
Price Analysis
RUNE has currently broken out of a long-term resistance at $5.6. The crypto has been trading below this resistance for over three and a half months (since June 11, 2024). We expect the breakout to sustain and take RUNE above $7.3 and then above $10 eventually.
A look at the technical charts confirms the formation of multiple bullish indicators.
- RUNE currently has a remarkably high RSI of 77 at press time. This is not only significantly higher than most other cryptocurrencies but has also surpassed the key 70 levels, indicating a strong breakout. Such conditions often signal an upcoming bullish price movement.
- Additionally, examining RUNE’s trend since early September reveals a clear uptrend from September 6 to 18. This initial rise was followed by an even stronger bullish surge, with the slope of the second uptrend being steeper than the first, indicating increased momentum.
- Finally, there has been a notable positive divergence in the MACD (Moving Average Convergence Divergence) since September 11. This divergence occurs when the price of RUNE continues to rise while the MACD line moves away from its signal line, indicating growing bullish momentum. This is a strong technical signal that suggests the current upward trend could be sustained, as it reflects increasing buying pressure in the market. Positive MACD divergences are often viewed as early signs of a potential breakout or extended rally.
2024 Price Prediction
Rune might cross $10 in 2024.
This is because the current signals of RSI, MACD, Candlesticks, and Trend all indicate that it might breach $7.3.
Once $7.3 is breached, RUNE has a little resistance to cross $10.
2025 – 2026 Price Prediction
By the end of 2025, when the altcoin season is expected to be at its peak, we might see RUNE cross its ATH ($21.26, May 9, 2021). And trade above these levels on a sustained basis.
This is because as the altcoin season gets more intense, RUNE could see an increased demand. Investors and traders need protocols like RUNE to be able to swap tokens. Further, its role as a market maker could also outshine other competitors.
As altcoin markets peak in 2026, we might see RUNE cross the levels of $40.
2030 Price Prediction
Thorchain (RUNE) could be an ever-growing project because its demand is expected to rise consistently in the future, especially during Bitcoin Halving periods and altcoin seasons. Both of these periods see an increased activity in crypto trading and investing.
We expect its long-term(2030) price above $100.