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Berachain (BERA) Shows Growth in On-Chain Metrics: Could This Pattern Spark a Rally?

Berachain (BERA) Shows Growth in On-Chain Metrics: Could This Pattern Spark a Rally?

CoinsProbeCoinsProbe2025/02/25 01:55
By:Nilesh Hembade

Date: Mon, February 24, 2025 | 05:47 PM GMT

In the cryptocurrency market, Berachain, an EVM-compatible Layer 1 blockchain, has been in the spotlight as its recently listed native token, BERA, has shown strong momentum despite a broader bearish market outlook.

Over the past 24 hours, BERA has surged by over 3%, with an impressive weekly performance of 13%, currently trading around $7.05.

Berachain (BERA) Shows Growth in On-Chain Metrics: Could This Pattern Spark a Rally? image 0 Source: Coinmarketcap

On-Chain Metrics Growth

Berachain has demonstrated remarkable growth in network activity. According to data from DeFiLlama , Berachain’s Total Value Locked (TVL) has reached $3.35 billion, making it the 6th largest DeFi protocol, surpassing major competitors like Base and Arbitrum.

Berachain (BERA) Shows Growth in On-Chain Metrics: Could This Pattern Spark a Rally? image 1 Source: Defillama

This growing adoption highlights increasing investor confidence in Berachain’s ecosystem.

Cup and Handle Pattern Formation

On the 2-hour chart, BERA has formed a Cup and Handle pattern, a bullish continuation formation that often signals further upside when the price breaks above the neckline resistance.

Berachain (BERA) Shows Growth in On-Chain Metrics: Could This Pattern Spark a Rally? image 2 Berachain (BERA) 2H Chart/Coinsprobe (Source: Tradingview)

Currently, BERA is trading at $7.05, finding support at the 100-SMA, while completing the handle portion of the pattern. The next resistance lies at the 50-SMA, and a breakout above this level could propel BERA toward its neckline at $8.87. If this breakout occurs with strong volume, it could spark a larger rally towards $12 or higher.

The MACD indicator is currently showing bullish divergence, with the signal line crossing above the MACD line, suggesting a potential upside move. However, a failure to break the neckline could lead to consolidation before a clearer trend emerges.

Final Thoughts

If BERA maintains its current momentum and successfully breaks out from the Cup and Handle pattern, it could lead to a significant rally in the coming days. However, traders should watch for volume confirmation and market conditions before entering positions.

Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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