Why is KLAY up by more than 5% today?

The cryptocurrency market has underperformed over the last 24 hours after having a positive start to the week.

The cryptocurrency market’s recovery journey has encountered a slight challenge as the market lost nearly 2% of its value in the last 24 hours.

The total cryptocurrency market cap has dropped below the $1.3 trillion mark again following this latest bearish performance.

Bitcoin is struggling to surpass the $31k resistance level and has lost 1.7% of its value in the last 24 hours. Ether, the world’s second-largest cryptocurrency by market cap, is down by more than 2% today but maintains its value above the $2,000 psychological level.

However, KLAY, the native token of the Klaytn ecosystem is up by more than 5% today. KLAY is the best performer amongst the top 50 cryptocurrencies by market cap at the moment. However, it has lost more than 7% of its value in the last seven days.

There is no apparent catalyst behind KLAY’s ongoing positive performance. KLAY has outperformed the broader cryptocurrency market and the other leading cryptocurrencies including Bitcoin, Ether, XRP, Solana and Cardano.

Key levels to watch

The KLAY/USDT 4-hour chart is currently bullish thanks to KLAY’s ongoing positive performance. 

The MACD line has just entered the neutral zone and could move into the positive territory if the rally continues. 

The 14-day relative strength index of 61 shows that KLAY could soon enter the overbought region if it can maintain its current momentum.

At press time, KLAY is trading at $0.442 per coin. If the rally continues, KLAY could move past the first major resistance level at $0.511 before the end of the day. However, it would need the support of the broader crypto market to surpass its second major resistance level at $0.724 in the short term.