THORChain’s RUNE Tanks 32% After THORFi Platform Paused

• RUNE faces significant bearish pressure, with support at $2.00 critical for stability.
• THORFi’s rebranding adds to market uncertainty, with low liquidity and weak sentiment.
• RUNE’s price recovery hinges on reclaiming $2.25 resistance, with downside risks.

THORChain’s recent pause of its THORFi platform and the subsequent 32% drop in RUNE’s price have sparked significant concern in the crypto market. The sharp decline, coupled with increased trading volume, has led many to question the future of THORChain and its ecosystem.

THORChain (RUNE) Faces Sharp Drop

RUNE, the native token of THORChain, has experienced a significant price drop, falling by 31.28% in the last 24 hours. The price currently stands at $2.12, with a market cap of $744.4 million. 

The 24-hour trading volume has surged by 93.51%, reflecting panic selling. The sharp decline suggests strong bearish sentiment, likely fueled by the recent pause of THORFi, which could have unsettled investors.

Key support levels for RUNE include $2.00, which is a psychological threshold. If this level is breached, further declines could lead to a test of $1.80 and $1.50. 

On the other hand, resistance levels to watch are $2.25 and $2.50. If RUNE manages to reclaim these levels, a recovery could be in sight. However, the bearish momentum remains strong, and the market’s short-term outlook remains uncertain.

Related: Crypto Analyst Picks Top Three Altcoins For the Next Rally

THORFi’s Impact on Market Sentiment

The rebranding of THORChain to THORFi has added to the market’s volatility. THORFi, which now operates under the same network, has also seen a decline, though less severe.

Currently priced at $0.1128, THORFi has faced a 2.39% drop in the last 24 hours. With a market cap reportedly at $0 and a trading volume of only $2.84K, THORFi shows signs of low liquidity and weak investor interest.

The tight price range, hovering near $0.1100, suggests a lack of strong buying interest. If the price fails to hold above $0.1100, it could test further downside levels, with $0.1050 and $0.1000 acting as critical support zones. Resistance levels are seen at $0.1155, $0.1200, and $0.1250. A breakout above these levels could signal a shift in sentiment, but the current trend remains bearish.

Related: THORChain (RUNE) Shows Signs of Recovery Amid Bearish Trend

RUNE’s Immediate Future: Key Levels and Market Outlook

RUNE’s steep drop of 31.04% over the past 24 hours has been alarming for investors. The price is currently at $2.13, and with a market cap of $10.59K, the token’s valuation has been hit hard. A significant rise in trading volume, up by 136.64%, points to heightened activity driven by fear and selling pressure.

The immediate support level for RUNE is $2.00, and if it fails to hold, a further decline toward $1.80 or even $1.50 is possible. On the flip side, reclaiming resistance at $2.25 could trigger a recovery toward $2.50 and beyond. However, the overall sentiment remains bearish, and traders should closely monitor the $2.00 support level.