V Berachain has surged over 36% in the past week, approaching a key resistance zone at $8.34. Traders now speculate whether the momentum can carry it beyond $10, despite early signs of overbought conditions.

Strong recovery backed by technical indicators

After a period of consolidation, Berachain has regained strength

Currently priced at $7.89, Berachain has seen a significant bounce backed by bullish indicators. The RSI has reached 59, signaling strong momentum but nearing overbought territory. The Bollinger Bands show price tightening, hinting at a potential breakout or retracement in the near term.

Resistance ahead and RSI close to critical level

Traders monitor the $8.34 level for signs of continuation

The main resistance level lies at $8.34. A successful breakout here could push Berachain toward the $10 psychological barrier. However, if resistance holds, a pullback toward $6.53 or even the stronger $5.14 support level could follow. RSI's proximity to overbought levels suggests caution.

Momentum intact, but volume signals cooling

Indicators remain positive while volume eases

The MACD remains positive at 0.282, confirming continued upward pressure. Yet, trading volume has dropped 33% in the past 24 hours to $187.7 million. This cooling of buyer interest could indicate a pause before the next move.

On-chain metrics boost bullish sentiment

Growth in TVL and DEX activity reinforces optimism

Berachain’s total value locked (TVL) has increased to $3.14 billion, nearing its previous high of $3.26 billion. Between March 23 and March 25, decentralized exchange volume surged from $36 million to $132 million, reflecting renewed activity and demand.

Proof-of-liquidity launch adds fuel to the rally

New reward system drives user participation and incentives

The launch of the proof-of-liquidity (POL) system on March 24 opened new reward mechanisms outside traditional BEX pools. Within hours, active incentives reached $355,000, and the top vault offered an APR exceeding 200%. This has contributed to a bullish outlook among users and investors.