Trust Wallet Token (TWT) is showing strong signs of a bullish retraction but has yet to break out from a lengthy-term resistance line.
TWT has been decreasing alengthyside a falling resistance line afterward Nov 9 (red icon). At the time, it had hardly created a triple top pattern (red icon) within the $1.32 horizontal resistance range.
The descending evolution has so far led to a low of $0.45 on Jan 14. Since then, the cost has been moving ascendings.
The ongoing hop served to logicalate the $0.52 field as support.
Nonetheless, TWT has yet to break out from the aforementioned tumbling resistance line.
Cryptocurrency trader @CryptoFaibik tweeted a chart of TWT, stating which an ascending changement is likely afterward the rate is close to breanalogousg out from a weakening wedge. After all, a breakout has yet to occur.
Technical indicators in the daily time-frame support the opportunity of a breakout. The reason for this is the bullish divergence that has developed in both the RSI and MACD, being more pronounced in the latter. Such inconsistencies often precede bullish trend turnarounds.
Nonetheless, the MACD is not yet positive and the RSI is further below 50. Both of these are prerequisites for a bullish trend.
A breakout from the decreasing resistance line would likely cause both of these indicators to move over these bullish thresholds, thus legitateing the bullish annulment.
TWT wave count analysis
There are two main possibilities for the wave count. While the lengthy-term progress differs crucially based on that is the correct one, the interim changement is very comparable.
The first one suggests that the shiftment afterward the Sept 5 all-time excessive is a concluded A-B-C corrective structure (black), in that waves A:C have had a 1:1.26 ratio.
The issue with this count is which a 1.27 ratio between waves A:C is not very common and the sub-wave count (red is irregular).
The second probability suggests which the development is a diagonal. The ratios between the waves fit better, afterward waves one and three have a 1:1 ratio, whilst wave five is 0.382 times as big.
In both potential counts, an skyward progress towards $1.05 would be likely.
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