Wanchain might have been a top 10 worst performing alt since it’s much hyped listing falling from heights of 100k down to just 1900 sats. However it has recently double bottomed in what appears to be a an Adam and Eve formation for pattern traders that formed a rounded bottom where it just broke a year long down trend line.
In addition price sits above the 100d moving average a bullish signal. Price just broke above a range where it spent 135 days and is currently confirming that resistance as support. Once confirmed it likely will challenge around .00003486 as the next area of major resistance. Keep in mind this does not signal a macro bullish reversal which would happen at or around the .00006000 mark.
The way the price action is currently setup suggests it’s a possibility however it’s unlikely position traders will step in yet due to only one resistance being flipped to support and the last major lower high not being taken out yet.
Wanchain is both short term and mid term bullish and will likely look to make pushes over the next month. Those expecting a macro bullish trend change should remain patient until the market structure itself changes and a trend develops where higher lows and highs are put in above the previous lower highs and lower lows.
WAN like many other alts will look to provide relief, whether this will turn into a dead cat bounce or something larger is yet to be seen.
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Pentoshi is a macro trend trader who specializes in price action technical analysis utilizing high time frame pivots. A full time Crypto trader who is now directing focus on trading education.
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