Will This Token Fly or Flop? Experts Weigh In!

Jupiter (JUP), the native token of the Solana-based Jupiter exchange, has fallen by 64.12% since it launched on January 31. At press time, JUP’s price was $0.58, CoinMarketCap showed. On the day Jupiter exchange launched the token, the price was as high as $0.75.

However, because some users of the Solana blockchain got airdrops, the cryptocurrency has been experiencing selling pressure. Despite the plunge, some market participants believe that JUP has good long-term potential.

JUP Can Break Out, Analyst Says

Furthermore, some experts have also considered analyzing the prospects of the token. One of those experts is Jacob Crypto Bury. Crypto Bury talked about JUP on his YouTube page in a session dated February 1.

According to him, the JUP launch could propel Solana’s Total Value Locked (TVL) to new heights in the coming months. In terms of the price action, Crypto Bury said that JUP looked like a token that would perform well soon.

He gave reasons like the impressive liquidity and market cap of the token. At the time the analyst uploaded the video, JUP’s liquidity was $4.23 million. The market cap, on the other hand, was $781.39 million.

However, the analyst mentioned that JUP might continue forming a falling wedge. While he admitted that it was too soon to predict its price, he opined that the token might break out at some point.

More Sell-Offs Might Take Place

Meanwhile, Jupiter has come under intense criticism because the team sold some of its tokens. However, the founder of the project, the pseudonymous Meow, has addressed some of the concerns.

According to him, there were plans in place to absorb the selling pressure. He also mentioned that he was confident that new buyers would come in.

If this happens, then JUP’s price might head back to the $0.75 region. Meow also admitted that the team made some errors and the plan was not to hurt retailers.

In addition, JUP’s price might still face another round of selling pressure. This is because about 54% of eligible wallets have not claimed their tokens.

According to on-chain research expert Ton Wan, 440,000 Solana addresses have claimed their tokens. But there was another round of 378 million JUP that has not yet been claimed.

While some of these wallets can decide to hold the token, others would most likely sell. If more addresses liquidate the token, JUP’s price might plummet again. However, the token’s solid fundamentals make it one that might recover at some point.

Jupiter (JUP) Price Prediction 2024

From the 1-hour JUP/USDT chart, the token had formed an asymmetrical triangle, indicating that the price might soon breakout. Also, the MACD was positive. Should this remain the same, JUP could move to $0.65 in the short term.

Though the On Balance Volume (OBV) was negative, the trend has moved upwards. If this continues, the buying pressure might propel JUP’s price higher.

Furthermore, SOL’s performance might also influence JUP’s price. For instance, SOL jumped in the last 24 hours and JUP’s selling pressure eased. As such, traders might want to keep an eye on SOL’s movement too while tracking JUP.Should SOL reach a new All-Time High (ATH) soon, then JUP might also do the same in 2024.

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