ai16z Crashes 13.15% – What’s Next?

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  • ai16z had a brief, shining moment of strong short-term bullish sentiment during the rally to $0.175, but it was short-lived – because, well, that’s just how these things go 🤷‍♂️.
  • The CMF indicator was like a wise old sage, pointing out which way traders should expect the price to swing next – and, spoiler alert, it wasn’t up 📉.

So, the AI agent token ai16Z (because who doesn’t love a good acronym?) had a bit of a wild ride. After a pullback to $0.134 on the 1st of July, it rebounded strongly, like a teenager on a sugar high, and rallied 30% in under four days. But, because all good things must come to an end, volatility kicked in again and the price dropped 🤯.

Now, you’d think that a remarkable uptick in Open Interest, with an 18.2% increase within the past 24 hours, would be a good thing. But, nope! Accounting for the swift pullback from $0.175, AI16Z was only up 2.05% within the past day. It’s like that old saying goes: “what goes up must come down, and then go up a little bit, but not really” 🤔.

The high OI and positive funding rate were like two peas in a pod, pointing toward intense short-term bullish sentiment. But, as we all know, sentiment is a fleeting thing, and this one could have worked against the bulls. The liquidity around the $0.175 resistance was swept before a bearish reversal, because who needs stability, anyway? 📊

So, the question on everyone’s mind is: can the altcoin’s bulls make another breakout attempt soon? Well, let’s take a look at some charts and try to make sense of it all 📈.

Is AI16Z Rallying or Consolidating? (Spoiler Alert: Neither)

The 1-day chart showed that the trend of AI16Z had been bearish since May, because who needs a bull run, anyway? 🐻. Over the past two weeks, the token has ranged between the $0.126 and $0.169 levels, with the mid-range level at $0.147. It’s like that old saying goes: “if you can’t make up your mind, just hover around the middle” 🤷‍♂️.

The trading volume has been higher over the past month than it was during the final week of May, when the retracement from $0.34 began. This suggests that the selling pressure, which had been hesitant in late May, has taken over the AI16Z market over the past month. The OBV agreed with this idea, forming new lower lows, a sign of dominant selling volume. Because who needs buyers, anyway? 📉

The 4-hour chart saw a bearish divergence between the MFI and the price, followed by a wicked rejection at the range highs. At the time of writing, the price was at the mid-range support, because who needs a clear direction, anyway? 🤔. Inability to defend this level would mean that swing traders can prepare for a drop toward $0.135, or as deep as $0.126. Joy! 🎉

While the OBV appeared to trend higher over the past week, the CMF has been below -0.05 for the majority of the past week. The CMF was like a wise old sage, pointing out that sellers have had the upper hand, while the ai16z token traded within a range. Therefore, AI16Z was neither rallying nor consolidating. It’s like that old saying goes: “if you can’t make up your mind, just meander around” 🤷‍♂️.

The consistent selling pressure meant that distribution was underway, and investors should beware. Because, you know, it’s always a good idea to beware of something that’s consistently going down 📊.

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2025-07-06 12:10