Deep Dive
1. Profit-Taking Pressure (Bearish Impact)
Overview: FLOW rose 6.55% over the past week, reaching a 30-day high near $0.40. The 24h drop aligns with typical profit-taking behavior after a rally, amplified by reduced trading volume (-11.85% vs. prior day).
What this means: Traders often secure gains after sharp upticks, especially when momentum stalls. FLOW’s 30-day performance remains negative (-7.11%), suggesting weak mid-term conviction. The RSI14 at 51.88 confirms neutral momentum, neither oversold nor overbought.
2. Technical Resistance at Key SMA (Bearish Impact)
Overview: FLOW faces resistance at its 30-day Simple Moving Average ($0.38789), a level it hasn’t sustainably breached since early September 2025.
What this means: Moving averages act as psychological barriers. Repeated failure to break above $0.38 signals lingering bearish sentiment. The MACD histogram (+0.0018) shows weak bullish momentum, insufficient to overpower selling pressure.
What to watch: A close above $0.39 could signal renewed bullish momentum, while a drop below $0.36 may accelerate declines.
3. Binance Network Upgrade (Mixed Impact)
Overview: Binance announced a temporary suspension of FLOW deposits/withdrawals starting October 22 for a network upgrade.
What this means: While upgrades aim to improve functionality, short-term suspensions often cause caution among traders. Notably, FLOW’s price dipped 1.2% in the 4 hours post-announcement (2 October 2025, 4:01 AM UTC+0). Trading remains active, but reduced liquidity during upgrades can heighten volatility.
Conclusion
FLOW’s dip reflects a blend of profit-taking, technical resistance, and pre-upgrade caution. While the network’s developer activity (e.g., Flow AI tools, hackathon wins) supports long-term growth, short-term sentiment remains fragile. Key watch: Can FLOW hold above its 7-day SMA ($0.36321) to prevent deeper correction? Monitor Binance’s upgrade completion and broader market sentiment for directional cues.