Render (RNDR) price prediction: Will the altcoin climb higher from the $3 demand zone?

In a post on X last week, user Bitcoinsensus noted that Render [RENDER] was setting to climb higher from the $3 demand zone.

Render [RENDER] is known for its unique decentralized GPU-based rendering solutions.

The cryptocurrency was trading at a key resistance level on Wednesday. Could this present an opportunity for traders to open positions on the altcoin?

What happened: Render was seen changing hands at around $4.4 at press time, testing the lower boundary of the $4.4-$4.8 resistance zone. A break above this zone could clear the way for a move towards the $7 resistance level, which presented the next major hurdle for the altcoin.

The massive retracement in 2024 and 2025 was seen as part of the bullish pennant that the altcoin has formed. A move beyond $7 would signal a breakout past this pennant, making the previous high at $13 a target.

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If the $4.4 support flips to resistance, it could present an opportunity for traders to open positions on Render. However, there were warning signs that investors should heed.

Render: Key signs to watch

According to data from Santiment, the development activity behind Render was negligible.

This was a major concern for investors, as it signaled fewer improvements and patches for the network.

The 7-day RSI for Render was at 50, signaling a bullish momentum shift. The social volume has slowly increased over the past month.

However, this was not necessarily an indicator of a RENDER rally.

Another sign of worry came from the network value metrics. The mean coin age was dropping rapidly and was at a level last seen in August 2024.

The falling mean coin age indicated that older coins were spent or moved, a sign of selling pressure from holders.

The price bounce in the past two weeks took the 90-day MVRV above zero. This showed that medium-term holders were at a slight profit, but also highlighted a strong distribution trend. Together, it did not present a buy signal.

The daily active addresses metric had also been in a downtrend since November 2024. The recent price surge did not come alongside a surge in network activity.

Hence, there was a good chance that the price bounce might falter, giving holders a chance to exit their positions.

Technical analysis highlighted the importance of the $4.4 resistance. Yet, the lack of network participation, as well as the distribution phase of the past three months, meant that investors should be careful if they want to bid on RENDER.