- OMG Network price needs to clear critical resistance at $4.40 to seize the opportunity to almost double.
- This supply barrier has caused four refusals in the past five months.
- Multiple on-chain metrics point to a reliable increase in user adoption and whale activity, suggesting that a breakout is possible.
OMG Network price is showing a massive increase in volume as the token tests the $4.40 resistance barrier. In the event of a breach, OMG has the option of a 60% rapid recovery.
OMG Network price looks set to double
Since OMG crossed the 50- and 100-day SMA, it has presented a robust bullish opportunity supported by increasing investor activity. Now, a successful break of the $4.40 resistance will seal the bullish fate of OMG Network.
This price hurdle managed to dismiss all the bullish impulses OMG has experienced since early September 2020. However, the most recent attempt looks promising as several technical and on-chain indicators have turned bullish.
OMG/USDT 1-Day Chart
IntoTheBlock’s Global In/Out of the Money model shows that any selling pressure caused by short-term sellers will be absorbed by around 78,000 addresses that bought 45.5 million OMG at $3.70. For this reason, the odds seem to favor the bulls.
As long as the OMG Network price can slice through the overhead resistance at $4.40, its market value may increase by 60% to $7.15. Here, the IOMAP cohorts show that 19,000 addresses contain 7 million OMGs.
OMG IOMAP Network
Given OMG Network’s potential for new heights, there has been renewed interest from market players. The number of new OMG addresses created daily has risen to almost 1,000, representing a 170% increase in the last week.
Daily New OMG Network Addresses
Meanwhile, the number of large transactions worth $100,000 or more has skyrocketed over the past three days. Over 123 large trades were recorded today, a significant increase from the 30 large trades recorded on January 30. Such market behavior signals the presence of whales during the current price move.
All of these on-chain metrics point to the inevitable breakout of the $4.40 resistance level. Since there is no significant supply barrier after this hurdle, a 60% increase seems very likely for the OMG Network price.
OMG table of the number of large transactions
Conversely, a correction towards the 50-day or 100-day SMA is possible if OMG price fails to cut through resistance.