Dash dropped 12% after briefly touching $96 during a 130% weekly rally that failed to break triple digits, with technical indicators and funding rate data now pointing to a possible slide toward $60.
What Happened: Privacy Coin Rally Loses Steam
The altcoin surged nearly 130% over the past week before hitting a wall just shy of $100.
Friday's intraday high of $96 marked the peak. The token then reversed course and was trading near $74 at press time, holding above the 61.8% Fibonacci retracement level near $73.
Warning signs had appeared before the pullback. The Chaikin Money Flow indicator showed a bearish divergence days earlier, with the metric printing higher lows while prices formed higher highs—a pattern that typically reflects weakening capital support behind price gains.
Funding rate data showed short positions outpacing long contracts for nearly a week. Traders had positioned for downside before the reversal occurred.
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Why It Matters: Technical Levels Remain Critical
The 61.8% Fibonacci level—often called the bull market support floor—represents a crucial threshold for trend continuation.
A breakdown below $73 would confirm a shift toward a bearish structure, with analysts eyeing $60 as the next support and the 23.6% Fibonacci level near $50 as a secondary target. However, a rebound from current levels combined with reduced selling could stabilize the token.
A move above the $83 resistance would signal renewed strength, potentially reopening the path toward $100.
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