"Analyzing the Total Crypto Market's Breakout and Support Shift"

10 thg 11, 2023

Being a contrarian thinker, I often hold opinions that differ from the mainstream, whether it pertains to stocks or cryptocurrencies. I find myself venturing down an unconventional path, distinct from the majority.

The provided weekly chart depicts the total cryptocurrency market, excluding Bitcoin. Here are some key observations:

Price action has successfully broken free from a resistant trend line that had persisted for two years. This indicates a significant shift in market dynamics.

Furthermore, this former resistance has now transformed into a confirmed support level, a development that underscores the potential for continued positive momentum.

The mention of "10x" likely refers to a significant increase in value attributed to a wedge breakout. Additionally, the term "flag pole" suggests that the market's peak can be projected following the breach of previous resistance levels, akin to the early stages of the 2021 bull market.

However, it's important to exercise caution and remember that this upward trend may not apply uniformly to all alternative tokens (alt-tokens). In contrast to the past, where a broad approach could yield success, the current market demands selectivity. Therefore, it's crucial to make well-informed choices when navigating the market.

Regarding the possibility of further market corrections, while it is technically feasible, it is not deemed likely based on the presented analysis.

In summary, the analysis emphasizes the value of contrarian thinking and suggests a promising outlook for the cryptocurrency market, albeit with a need for discerning and selective investment strategies.

In the daily time frame, the total market capitalization for cryptocurrencies (often referred to as "TOTAL2") is currently in the process of breaking out of a symmetrical triangle pattern. From a technical analysis perspective, this breakout suggests the potential for a 50% rebound in the market's overall value, as dictated by the symmetrical triangle pattern. Symmetrical triangles are typically seen as continuation patterns, and their breakouts often signal the possibility of a significant price movement in the direction of the breakout. Therefore, the current breakout from the symmetrical triangle is being interpreted as a signal that the market's total capitalization may increase by approximately 50%. However, as with any technical analysis, it's important to consider other factors and perform comprehensive research before making trading decisions.

This chart is likely to help you make better trade decisions if it does consider upvoting it.
I would also love to know your charts and views in the comment section.

Thank you