⭐️ Altcoins Flash Bullish Signal: Falling Wedge Breakout Looms
The altcoin market is hinting at a potential breakout, as indicated by a falling wedge pattern forming on the dominance chart. This technical formation often precedes a bullish reversal, suggesting a potential surge in altcoin prices.
💬 Altcoins are on the verge of breaking out of a 9-month falling wedge.
Time for the bulls to come back with full force. — 𝕄𝕠𝕦𝕤𝕥𝕒𝕔ⓗ𝕖
This bullish outlook is further supported by the oversold RSI and a bearish crossover on the MACD, suggesting a weakening downtrend. If the market breaks out of the falling wedge, altcoins could see a significant rally, similar to past instances in 2020 and 2023. However, a failure to break out could lead to continued consolidation and a delayed bullish move.
Moustache recently posted on X about this potential bullish move, noting that altcoins are poised to break out after a long decline. The post emphasizes the importance of watching this market closely, as a breakout could signal the return of the bulls.
A falling wedge pattern features lower highs and lower lows, forming converging trend lines that suggest decreasing selling pressure. Historically, this pattern comes before a bullish reversal, which could mean the altcoin market is gearing up for a significant upward move. As the recent chart shows, altcoin dominance has been consolidating near the lower trendline of the wedge, suggesting the market is on the cusp of a breakout.
