Since the ascending wedge is considered a bearish pattern, a breakdown from it would be the most likely future price outlook. Currently, TOTALCAP is near the wedge’s resistance trendline after making an unsuccessful breakout attempt yesterday (red icon).
The price action and the Relative Strength Index (RSI) are not in alignment. Despite the price action showing a bearish pattern, the RSI is bullish.
With the RSI as a momentum indicator, traders can determine whether a market is overbought or oversold and decide whether to accumulate or sell an asset.
Bulls have an advantage if the RSI reading is above 50 and the trend is upward. But if the reading is below 50, the opposite is true.
Currently, the indicator is increasing and is above 50. It also broke out from its bearish divergence trendline (green).
The future direction of the trend hinges on whether TOTALCAP experiences a breakout from the wedge or faces rejection. A successful breakout has the potential to result in a 10.50% rise to the subsequent resistance level of $1.43 trillion.
Conversely, a breakdown from the wedge could lead to a 4% decline towards the support area of $1.25 trillion.
Combined, the trendline and the resistance area create an ascending triangle, which is often considered a bullish pattern. This bullish price action is supported by the RSI, which has broken out from its bearish divergence trendline.
Despite this bullish BTC price prediction, a fall below the $35,200 area and close below the ascending support trendline could potentially initiate a 12% drop to the closest support at $31,000.
BLUR Price Falls After Rejection
The BLUR price has increased since October 12. The upward movement culminated with a high of $0.40 on November 7. The high was made inside the $0.28 horizontal resistance area, which has been in place since June.
The BLUR price failed to break out on its first attempt. Instead, it created an upper wick (red icon) and fell.
If BLUR continues to fall, the closest support would be found at $0.23, 35% below the current price. On the other hand, reclaiming the $0.38 area could lead to a 120% increase to the next resistance at $0.78.
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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.