CAT weekly gains surpass 37% as a bullish pattern forms on its daily chart

Simon’s Cat trended on Google as a bull flag pattern formed on the 1-day chart of meme coin.

Fake anonymous trader Zak recently noted in an X post that Simon’s Cat (CAT) is forming a bull flag pattern. On October 21, CAT rose from $0.000024 to $0.000035, creating a large green candle that formed the flagpole.

After reaching a high of $0.000038, the token retreated to $0.000034, forming the characteristic flag. A break of this pattern usually signals a continuation of the uptrend, which could lead to further price increases.

Another trader, Mr. Albert, observed that the meme coin consolidated in a narrow range between $0.000038 and $0.000044 between October 23 and October 26, finding strong support above $0.000033. He noted that a break above this consolidation range could trigger a continued upward move in the short term.

Memecoin has increased by 37.6% in the last 7 days, with its market cap reaching $233 million at the time of writing, up from $166 million on October 21. This increase was accompanied by a jump in daily trading volume of over $60 million. at press time.

CAT’s recent listing on crypto exchange OKX has also sparked optimism within the crypto community as it sees an increase in buying activity among investors.

Fake trader Crypto Bull announced that he purchased $250,000 in CAT. Another community member noted that a whale received $26,000 worth of meme coins days after OKX was listed.

Alongside this buying activity, CAT’s price rise coincided with an increase in the number of addresses holding the token; this increased from 231,676 on October 21 to 235,666 on October 28 as more investors sought to capitalize on its growing popularity.

Despite the positive developments, technical indicators show that the trend may lose momentum in the short term.

On the 1-day CAT/USDT chart, the Relative Strength Index dropped from an almost overbought level of 66 on October 23 to a neutral 54, indicating that the recent uptrend is weakening.

CAT price, RSI and MACD chart | Source: crypto.news

The MACD further supports the bearish trend, with the MACD line (orange) crossing below the signal line (blue) and the descending histogram, indicating potential consolidation or slight downside movement in the short term unless significant buying interest emerges.