STEPN to new highs? GMT price painting first ‘bull flag’ toward $5 target

April 22, 2022 Coin Telegraph

<div>STEPN to new highs? GMT price painting first 'bull flag' toward target</div>

Altcoin

GMT is booming amid warnings that its 38,000% price rally since inception could end up being an "absolute joke."

STEPN (GMT) has rallied strongly against the U.S. dollar this week as it looks likely to form a classical bullish technical pattern called the "bull flag."

GMT eyes more upside

GMT's price rose 30% week-to-date, including a strong rally to establish an all-time high near $3.85 followed by a relatively modest correction to nearly $3. In particular, the correction phase occurred inside a descending parallel channel, raising possibilities that the price would eventually break out of it to the upside.

That is precisely because traditional analysts consider strong run-ups, followed by range-trapped price corrections, as bullish continuation setups. And the one GMT has been painting — a bull flag, as mentioned above — could lead to an upside boom in the weeks ahead, as shown in the chart below.

*GMT/USD 4-hour price chart featuring 'bull flag' setup. Source: TradingView*

As a general rule, traders realize a bull flag target by measuring the previous uptrend's height and projecting it from the breakout point. Applying the classic setup on GMT's chart shows that it now eyes a run-up above $5, about 65% above today's price.

Bull flags' success rate of meeting their upside targets sits near 64%, according to Thomas Bulkowski, a veteran investor and analyst.

But the risk of a drop toward $2 becomes high if the GMT's price breaks below the bull flag's lower trendline, the last line of support, which coincides with the 50-4H exponential moving average (50-4H EMA; the red wave) at $2.91.

STEPN's 38,000% gains 'an absolute joke'?

GMT surged by nearly 38,000% in less than two months, amid the hype surrounding STEPN's "move-to-earn" economic model that rewards its app's users with a native currency, called Green Satoshi Token (GST), for merely moving.

STEPN generates revenues (it made $26.81 million in Q1/2022) via the sales of its so-called "NFT Sneaker" — a unique digital image whose ownership enables players to earn GST in the first place. The game uses the proceeds first to buy and then burn GMT, thus creating upward pressure on its prices if the demand for the token goes up.

Independent market analyst Wangarian believes the hype around STEPN looks similar to what Axie Infinity (AXS), a play-to-earn gaming metaverse, witnessed in May 2021. AXS/USD rallied from around $2.50 to about $178 between May and November last year.

Tell me how $APE + $GMT ripping in a sideways market doesn't look similar to $AXS back in May 2021.
— Wangarian (@0xWangarian) April 21, 2022

Fellow independent market analyst Michaël van de Poppe, however, fears that GMT's market capitalization, which sits near $1.9 billion — with a fully diluted valuation of around $18 billion — is an "absolute joke."

But GMT "valuations can still become ridiculous," he adds, owing to STEPN's marketing tactics.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

ApeCoin: APE price climbs 55% in three days as a ‘BAYC land drop’ rumor goes viral

April 20, 2022 Coin Telegraph

APE price

Owners of the popular Bored Ape and Mutant APE nonfungible tokens (NFT) could receive virtual lands on the Yuga Labs' upcoming "Otherside" metaverse.

ApeCoin (APE) price has exploded higher on anticipations that it would become a de-facto payment token in an upcoming metaverse land sale.

APE price swelled nearly 28% in one day to reach over $17 per token on April 20. The rally came as a part of a rebound from three-day lows under $11, resulting in a 55% gain.

*APE/USD four-hour price chart. Source: TradingView*

BAYC land airdrop

A rumor circulating across social media platforms since April 18 suggested that the owners of the Bored Ape Yacht Club (BAYC) and Mutant Ape Yacht Club (MAYC) NFTs may receive virtual lands on the Yuga Labs' much-anticipated "Otherside" metaverse platform.

Alpha leak: these projects will be auto whitelisted to mint Otherside land.
BAYC - airdrop (center land)
MAYC - airdrop (mid land)
CryptoPunks - WL (outer rim)
Meebits - WL (outer rim)
Cool Cats - WL (outer rim)
Nouns - WL (outer rim)
WoW - WL (outer rim)
Toadz - WL (outer rim) pic.twitter.com/gZ5ldAdoQM
— Willy ₿ullish (@WillyTheDegen) April 18, 2022

Otherside will be an MMORPG game where players can employ their NFTs as native avatars or characters. A leaker investor pitch deck showed that Yuga Labs expects to earn $178 million by selling virtual lands, with APE acting as the de-facto token to process these purchases.

Some BAYC NFT owners claimed that Yuga Labs would sell the Otherside virtual lands via a Dutch auction. In doing so, the firm could set the minimum bid at 600 APE, about $10,700 at today's price.

Was just sent some huge alpha re @yugalabs land drop. The sale will be a Dutch auction of some sort starting at 600 $APE.

BAYC / MAYC (Airdrop)
Punks, Meebits, Cool Cats, Nounz, WoW, Toadz (Auto WL)

Get your $APE ready. Looks like we’re gonna need it. #BAYC #OTHERSIDE
— renegademaster / guccibayc.eth (@renegademasterr) April 20, 2022

Given this potential use-case, demand for ApeCoin may grow higher, which could partially explain APE's upside momentum in the last three days.

APE undergoing bullish breakout

The latest bout of buying in the APE spot market saw the APE/USD pair break out of a classic bullish continuation pattern.

As Cointelegraph reported earlier, breaking above the so-called "bull pennant" with decisive volumes could have ApeCoin rally above $40 in the next few months.

Meanwhile, if the technical pattern turns out to be a "symmetrical triangle" instead, APE's upside target will be near $22, according to the setup shown below.

*APE/USD daily price chart. Source: TradingView*

ApeCoin now targets the 0.236 Fib line (~$16) of the Fibonacci retracement graph, drawn from $41-swing high to $8.50-swing low, as its interim resistance. A pullback from the said price ceiling would risk sending APE toward the triangle's top near $12.50.

DOGE price analysis hints at 30% drop despite Elon Musk’s Twitter bid

April 17, 2022 Coin Telegraph

Coin Telegraph

The head and shoulders pattern emerging on Dogecoin charts suggests a lack of upside conviction among DOGE traders.

The brief Dogecoin (DOGE) price rally last week following Tesla CEO Elon Musk's bid to buy Twitter appears to be fizzling out as DOGE closes the week over 8%.

DOGE's price dropped to $0.142 on April 17, three days after peaking out locally at $0.149. The Dogecoin correction, albeit modest, raised its potential to trigger a classic bearish reversal pattern with an 85% success rate of reaching its downside target.

DOGE price eyes drop under $0.10

Dubbed head and shoulders (H&S), the pattern appears when the price forms three peaks in a row, with the middle one, called the "head," in between the other two, which are of almost equal height, and are thus called the left and right "shoulders."

These three peaks hold above a common support level called the "neckline." As the theory goes, the price typically breaks below the neckline after forming the third peak, or the right shoulder, and falls by as much as the H&S's maximum height, i.e., the distance between the head's top and neckline.

It appears DOGE has been forming a similar structure at least since March 24. The cryptocurrency now eyes a drop to the neckline after forming its right shoulder, followed by a full-fledged bearish breakout, as shown in the chart below.

*DOGE/USD daily price chart. Source: TradingView*

As a result, Dogecoin's probability of correcting toward its H&S neckline near $0.132 appears higher, down about 7.5% below today's price. The level coincides with DOGE's 50-day simple moving average (50-day SMA; the blue wave), thus providing additional support.

A decisive breakout move below the support confluence could risk triggering the H&S setup, with the downside target sitting below $1, down almost 30% below today's price.

Interestingly, the target appears close to the lower trendline of the descending channel pattern that has enveloped Dogecoin's price moves since December 2021.

The "Musk effect"

Musk continues to be an influential catalyst behind Dogecoin's interim price trends.

The news of him buying a 9.2% stake in Twitter on April 4 helped boost DOGE's price by more than 20% to $0.174 a day after, its best level in almost three months.

A correction followed as traders locked interim profits, only for DOGE price to rebound again after Musk showed intentions to acquire Twitter in its entirety for $43 billion.

Enthusiasts believe that the "Musk effect" and his growing influence on Twitter could boost Dogecoin adoption and price, their sentiment furthered by Robinhood CEO Vladimir Tenev, who earlier this week said DOGE could become the "currency of the internet."

#dogecoin + Elon Musk + Twitter + Popularity = $10 future value let’s go $Doge #DogecoinToTheMoon
— Dogecoin and Bitcoin HODL (@HodlDogecoin) April 15, 2022

Musk has supported the idea so far, suggesting the Twitter board introduce a DOGE payment option for the social media's Twitter Blue monthly subscription service.

Axie Infinity sees ‘no signs of buyers’ as AXS price tumbles 30% in two weeks

April 11, 2022 Coin Telegraph

Altcoin

AXS price nonetheless tests a key inflection area that has historically acted as strong support.

Axie Infinity (AXS) price has fallen by nearly 30% two weeks after losing $625 million to a hacking incident involving its play-to-earn gaming platform's underlying blockchain, the Ronin Network.

AXS/USD dropped to $46.69 on Monday, its lowest level since March 16, signaling a dampening buying sentiment among traders and investors following the hacking incident.

Independent market analyst TJ asserted that there is "no sign of buyers" even with the price entering areas with a history of attracting accumulators.

*AXS/USD daily price chart featuring demand areas. Source: TradingView*

For instance, AXS broke below the demand zone that TJ highlighted as a potential inflection point during the weekend, a move that risked sending the price further lower towards its range support target near $45 this week.

AXS bounce back ahead?

The bearish prospects appear despite a strong assurance from Sky Mavis — the company that built Axie Infinity — that they would reimburse all the users who lost funds in the $625 million theft. Last week, the firm announced a $150 million raise, led by Binance, to honor its promise.

Additionally, AXS hints at more downside after painting a death cross between its 20-day exponential moving average (20-day EMA; the green wave) and its 50-day EMA (the red wave).

*AXS/USD daily price chart featuring 'golden cross.' Source: TradingView*

The area around the $45-level has earlier served as an accumulation zone for traders. For instance, its last retest as support in March had preceded a nearly 70% rebound move to around $75. Similar retracement moves occurred in January and February when the price fell to around $45.

Meanwhile, as AXS tests the key support level, it would also prompt its daily relative strength index (RSI) to move lower below 30 — an "oversold" signal. This suggests Axie Infinity could be due for a bounce higher in April.

Falling wedge confirmation needed

AXS's price is already "oversold" on its four-hour chart, according to its RSI readings near 25. Meanwhile, AXS is breaking out of its prevailing falling wedge pattern to the downside despite it being a bullish reversal pattern in theory.

*AXS/USD four-hour price chart featuring 'falling wedge' setup. Source: TradingView*

The support confluence — featuring an oversold RSI and the accumulation zone near $45 — raises the AXS's potential to re-enter the wedge range, followed by a breakout to the upside.

If this happens, AXS/USD could move toward $58, a key March 2022 resistance level, based on the falling wedge's theoretical profit target, measured after adding the distance between its upper and lower trendlines to the breakout point.

Head-and-shoulders risk

Conversely, breaking below the key support area near $45 could trigger AXS's head-and-shoulders (H&S) setup on longer timeframe charts.

That is primarily because the $45-level serves as the pattern's neckline. As a rule, a break below the H&S neckline support shifts the asset's downside target to the level at a length equal to the maximum distance between the head and the neckline, as illustrated in the chart below.

*AXS/USD weekly price chart featuring H&S breakout. Source: TradingView*

As a result, the H&S setup risks sending AXS's price toward $12 on a decisive breakout below its neckline.

Solana risks 35% price crash with SOL price chart ‘megaphone’ pattern

April 9, 2022 Coin Telegraph

Altcoin

Solana market grapples with multiple bearish setups if it breaks below its key 50-week moving average.

Solana (SOL) risks crashing 35% in the coming days as it comes closer to painting a so-called "megaphone" pattern.

SOL price "megaphone" pattern

In detail, megaphone setups consist of a minimum of lower lows and two higher highs and form during a period of high market volatility. But generally, these patterns consist of five consecutive swings, with the final one typically acting as a breakout signal.

SOL has been sketching a similar pattern since the beginning of 2022, with the coin undergoing a pullback after testing the megaphone's upper trendline near $140 as resistance — the fourth wing.

As a result of the pattern, the Solana token could extend its decline to test the megaphone's lower trendline as support near $65, about 35% below today's price.

Could SOL crash further?

If this scenario plays out, SOL could crash further after forming the fifth swing on its prevailing megaphone structure. While finding a perfect downside target in case of a breakout is tricky, traders typically select it by measuring the distance between the two trendlines from the point the lower one breaks and book profits when the price reaches 50-60% of that distance.

*SOL/USD weekly price chart featuring 'megaphone' breakout scenario. Source: TradingView*

A bearish breakout risks putting SOL's price en route to nearly $40 in the coming weeks.

A pullback scenario

On the other hand, SOL's bearish megaphone setup could fall short of achieving its breakout target as its price holds above a flurry of concrete support levels.

These levels include SOL's 50-week exponential moving average (50-week EMA; the red wave) and an upward sloping trendline (the black line) that have served as accumulation zones for traders, as shown in the chart below.

As a result, an early pullback from 50-week EMA could invalidate the megaphone scenario.

*SOL/USD weekly price chart featuring 50-week EMA and rising trendline support. Source: TradingView*

Suppose the price falls below the 50-week EMA, only to seek a bounce from rising trendline support. In that case, it could confirm the presence of a "rising wedge" or "bear flag" setup in conjugation with the megaphone pattern's upper trendline — again a bearish setup.

*SOL/USD weekly price chart featuring bear flag/rising wedge scenario. Source: TradingView*

The rising wedge's downside target appears to be near $60 after measuring the maximum distance between its upper and lower trendline (about $40) and subtracting it from the potential breakout point near $100.

Meanwhile, the bear flag's downside target is near $30 after calculating the height of its previous uptrend (about $60) and subtracting it from the potential breakout point near $90.

Stronger dollar prospects risk pushing down Bitcoin price to $32K

April 7, 2022 Coin Telegraph

Bitcoin

The U.S. dollar index could rally further in the coming weeks, which is typically bad news for Bitcoin.

The U.S. dollar's ability to continue its rally in Q2 could prove fatal for Bitcoin (BTC), which has demonstrated an inverse correlation with the dollar since January 2022.

*BTC/USD daily price chart featuring correlation with DXY. Source: TradingView*

Dollar paints "bull flag"

The U.S. dollar index (DXY), which measures the greenback's strength against a basket of foreign currencies, reached its 21-month trading high of 99.82 on April 7, the highest level since May 2020.

The index now looks poised to continue its upside move further as it breaks out of a classic bullish continuation pattern — called a "bull flag ."

In detail, bull flags appear when the price consolidates lower inside a parallel descending channel after undergoing a strong uptrend (called flagpole). In theory, the pattern is resolved after the price breaks out of their range to the upside to reach the level located at a length equal to the flagpole when measured from the breakout point.

*DXY daily price chart featuring "bull flag'"setup. Source: TradingView*

The bull flag setup therefore puts the next upside target for DXY at 101.

Golden cross on the weekly chart

The DXY index is also forming a bullish golden cross for the first time since April 2019.

Golden crosses occur when an asset's short-term moving average rises above its long-term moving average. Many analysts consider the crossover as a bullish technical signal due to its history of preceding strong uptrends.

DXY's last golden cross between its 50-week and 200-week exponential moving averages (EMAs) came before a 4% upside move.

A similar bullish setup now nears for a 50-200 EMA crossover in April, notes Alexander Mamasidikov, co-founder of crypto wallet service MinePlex.

*DXY weekly price chart featuring a golden cross. Source: TradingView*

"The formation of the golden cross on the U.S. dollar index marks a period of temporary strength for the greenback with an expectation for it to tick stronger growth potentials against other currencies," he explained, adding:

"The ensuing strength of the U.S. dollar following the golden cross formation will help to stump the impact of inflation as the greenback's purchasing power is boosted."

Where does it leave Bitcoin?

Interestingly, Bitcoin has been forming the opposite setup to the dollar, dubbed a bear flag — suggesting more pain ahead for the BTC/USD pair.

Bear flags appear when the price consolidates higher inside a parallel ascending channel and resolve after it breaks below the channel's lower trendline with convincing volumes. In a "perfect" scenario, a bear flag breakout results in the price falling as low as the height of the previous downtrend.

*BTC/USD daily price chart featuring 'bear flag.' Source: TradingView*

Thus, Bitcoin could see a drop to the flag's lower trendline around $40,000, opening the door for a drop toward $32,000.

There it is, now we'll check off the 2nd target box on $DXY drawn months ago.
- Daily, Weekly, & Monthly RSI look bullish
- Daily, Weekly, & Monthly MACD look bullish
- Above 200 W MA since November
- May 2020 last time it was this high

Risk off for #bitcoin, #crypto, $stocks? https://t.co/jzaCOb4fIk pic.twitter.com/hMEBrxHgW2
— Jesse Olson (@JesseOlson) April 7, 2022

Nonetheless, Mamasidikov says Bitcoin could hold above $42,500 even if the dollar rises on the other end of the spectrum.

Recalling the adoption boom of summer 2021 (when Bitcoin's correlation with the DXY was largely positive), investors continue to hodl BTC as a part of their long-term strategy.

He adds:

"Despite the seeming uncertainty in the market, Bitcoin has formed strong support at $42,500 and has the fundamental backing to retest $47,000 in the short term."

Litecoin price risks 20% drop as LTC whale activity spikes to monthly highs

April 6, 2022 Coin Telegraph

Altcoin

Large spikes in whale transactions typically precede a period of declines in the Litecoin market.

The daily transactions involving the richest Litecoin (LTC) addresses — "whales" that hold 10,000 to 1 million LTC — have jumped to their highest levels since December 2021.

Litecoin selloff ahead?

On-chain analytics platform Santiment detected a total of 3,458 LTC transactions worth over $100,000 on April 5, calling it "an indicator of mid-term price direction shifts."

Meanwhile, Litecoin's price continued its correction move on April 6, down 13% from recent highs of $135 on March 30.

*Litecoin daily whale transactions in 2022. Source: Santiment*

Whales are an influential cluster of investors since they hold a comparatively large amount of coins, whose movements can intentionally or unintentionally move markets in either direction.

Santiment's chart revealed little about whether Litecoin whales purchased, sold, or merely transferred their LTC holdings to other addresses. However, it showed that spikes in daily whale transactions have been preceding price declines in the Litecoin market this year, raising the possibility of LTC's price falling in the coming weeks.

LTC price technicals

Over the last ten days, Litecoin has experienced modest selloffs upon twice testing its 20-week exponential moving average (20-week EMA; the green wave) near $133.

*LTC/USD weekly price chart. Source: TradingView*

LTC's price declined by nearly 7.5% week-to-date to drop below $120. Its path of least resistance looks skewed toward the downside, with its 200-week simple moving average (200-week SMA; the orange wave) near $100 acting as the next pullback target — around 20% below current prices.

The given level also coincides with the lower horizontal support that constitutes a descending triangle pattern, raising LTC's chances of a rebound here toward the channel's upper falling resistance above $200 in Q2.

Litcoin hodlers holding

Additionally, the monthly position change of Litecoin's long-term investors — or "hodlers" — shows LTC accumulation (green) during its price declines in 2021, suggesting that investors are currently betting on the price to rise in the future.

*Litecoin holder net position change. Source: Glassnode*

Meanwhile, Rekt Capital, an independent market analyst, expects an early rebound in LTC/USD, citing a "falling wedge" — a bullish reversal pattern that starts wide at the top but contracts as prices move lower.

"LTC now pulling back for a post-breakout retest of the Falling Wedge top," he noted in reference to the chart above, adding:

"This Falling Wedge diagonal is confluent with the green Range Low area ($116-$125). LTC will be looking to hammer out a base in this area."

Elon Musk’s Twitter investment puts a 150% rally into play for Dogecoin

April 5, 2022 Coin Telegraph

Altcoin

Lower volumes and strong resistance levels continue to pose downside risks for DOGE prices despite the rebound.

Dogecoin (DOGE) continues its rebound move four weeks after bottoming near $0.10 and is now promising more upside moves in Q2/2022.

Dogecoin price nears two-month highs

DOGE's price had risen by nearly 6.5% week-to-date to $0.15 a token. The coin's recent gains surfaced after Elon Musk disclosed his $3-billion stake in Twitter on Monday, reiterating his influence on its market.

Musk has been a big supporter of the Dogecoin community, including his decision to accept DOGE payments at his company Tesla's online merchandise store.

As Cointelegraph reported, Musk’s investment could help push Twitter’s crypto initiatives forward and even see DOGE integration on the social media platform.

So, @jack owns 2% of twitter, @elonmusk owns 9%!@jack loves BTC.@elonmusk loves $DOGE.
— Ran NeuNer (@cryptomanran) April 4, 2022

DOGE's falling wedge breakout underway

Musk's Twitter investment also assisted Dogecoin in breaking out of a falling wedge pattern.

In detail, falling wedges are considered bullish reversal setups and appear when the price consolidates lower inside a range defined by two converging, descending trendlines while leaving behind a trail of lower highs and lower lows.

In a perfect scenario, falling wedges resolve after the price breaks decisively above their upper trendline. As it happens, traders typically eye a run-up toward the level that comes to be at length equal to the maximum distance between the wedge's upper and lower trendline.

As DOGE's price undergoes a similar pattern, its likelihood of continuing its uptrend has increased following the break above the trendline on April 4. Therefore, the coin now eyes a run-up towards $0.37, about 150% above today's price, as shown in the chart below.

*DOGE/USD weekly price chart with falling wedge' pattern. Source: TradingView*

DOGE price downside risks

Nonetheless, the bullish setup comes with downside risks. Notably, Dogecoin's breakout move above the falling wedge's upper trendline accompanies weaker volumes, suggesting that traders lack conviction in the rally.

DOGE also trades below two critical support levels: the 20-week exponential moving average (20-week EMA; the green wave) around $0.15 and the 50-week EMA (the red wave) near $0.17.

*DOGE/USD weekly price chart featuring moving average resistances and volume. Source: TradingView*

A pullback from the said price ceilings could have Dogecoin return to the falling wedge's upper trendline to test it as a newfound support level. On the other hand, an extended decline risks invalidating the entire bullish reversal setup.

Holding the wedge's upper trendline as support and breaking above the 20- and 50-week EMAs with strong volumes would keep DOGE's $0.37-target intact.

Neutrino Dollar breaks peg, falls to $0.82 amid WAVES price ‘manipulation’ accusations

April 4, 2022 Coin Telegraph

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Altcoin

Waves founder Sasha Ivanov says Alameda Research is behind the ongoing WAVES price decline.

Neutrino Dollar (USDN), a stablecoin issued through Waves-backed Neutrino protocol, lost its U.S. dollar-peg on April 4 amid speculations that it could become "insolvent" in the future.

USDN plunges 15% despite WAVES backing

USDN dropped to as low as $0.822 on April 4 with its market capitalization also diving to $824.25 million, down 14% from its year-to-date high of $960.25 million.

Interestingly, the stablecoin's plunge occurred despite Neutrino's claims of backing its $1-peg via what's called "over collateral," i.e., when the total value of Waves (WAVES) tokens locked inside its smart contract is higher than the total USDN minted, also called the "backing ratio."

*Neutrino Dollar price performance in the last 24 hours. Source: CoinMarketCap*

Notably, Neutrino smart contract's backing ratio came out to be 2.62 on April 4, according to official data, underscoring that it had adequate funds to back USDN's dollar-peg by 1:1; that is, despite WAVES' 35%-plus drop in the last five days.

Price manipulation

WAVES' price dropped from its record high near $64 on March 31 to as low as $47 on April 4. The coin started declining as its momentum indicator, the relative strength index (RSI), jumped above 70 — an "overbought" area that typically triggers selling sentiment.

*WAVES/USD daily price chart. Source: TradingView*

Nonetheless, the selloff occurred also as a pseudonymous analyst accused Waves of artificially pumping WAVES by 750% in the last two months by:

1) collateralizing USDN to borrow USD Coin (USDC) on the Vires.Finance lending platform;

2) using the proceeds to purchase WAVES;

3) converting the tokens to USDN, and

4) redeploying them into the Vires.Finance pool to borrow more USDC.

The analyst also said that a decisive WAVES' price crash would make USDN insolvent.

If WAVES prices drop enough ---- WAVES mkt cap could be less than USDN outstanding

This would mean USDN is insolvent and would depeg

If USDN depegs is material --- the USDC short on Vires could liquidate $607mm of the $875mm outstanding USDN

This would be Armageddon
— 0xHamZ (@0xHamz) March 31, 2022

Waves founder Sasha Ivanov, however, denied the allegations on April 3, noting that one cannot move markets of more than $1 billion daily volume by borrowing a few million.

He further accused Alameda Research, a quantitative crypto trading firm headed by FTX's Sam Bankman-Fried, of launching a campaign "fueled by a crowd of paid trolls" against WAVES to honor their short positions on the coin.

The account started borrowing $waves around March, 20, sending it to Binance - https://t.co/OoSC50EaHl, obviously to sell and make the price go lower. It started around the same time when the FUD campaign started.
— Sasha Ivanov (1 ➝ 2) (@sasha35625) April 3, 2022

From a technical perspective, WAVES holds its bullish bias above the confluence of two support levels: the 20-day exponential moving average (20-day EMA; the green wave) around $40 and the 0.382 Fib line near $42.50.

Conversely, a decisive break below the support confluence could risk crashing WAVES toward $30.

Nearly $13.75M liquidated as WAVES rallies 70% in a day — what’s next?

March 29, 2022 Coin Telegraph

<div>Nearly .75M liquidated as WAVES rallies 70% in a day — what's next?</div>

Altcoin

Stablecoin management DeFi platform Neutrino emerges as the key factor behind WAVES' ongoing price rally.

WAVES price surged by up to 70% on March 29, reaching a new all-time high around $54. Traders betting against the rise of Waves — the native token of the WAVES blockchain network — suffered losses worth millions of dollars as the WAVES/USD pair extended its recovery to a record level in the past 24 hours.

The price rebound, which started on Feb. 22 when WAVES price was at $8.25 caused around $13.75 million worth of liquidations due to crypto-based futures on a 24-hour adjusted timeframe, data from Coinglass shows.

*WAVES liquidations every 12-hours. Source: Coinglass*

Around $11 million of the total liquidated positions were short.

2.0 hype, Neutrino behind WAVES rally

As Cointelegraph earlier covered, traders may have jumped into the WAVES market after assessing its three consecutive optimistic updates: the migration to Waves 2.0, the launch of a $150 million fund, and partnership with Allbridge.

Edson Ayllon, product manager at dHEDGE — a decentralized asset management platform, told Cointelegraph that the euphoria surrounding the release of Waves 2.0 in October was reflective in the rising total value locked (TVL) in the Waves ecosystem that reached an all-time high of $4.36 billion on March 29.

"Waves 2.0 adds EVM support to the execution layer, and adds Proof-of-Stake with sharding to the consensus layer," the analyst noted, adding:

"Sharding and Proof of Stake have been concepts Ethereum has been working towards for years on their roadmap."

Interestingly, Neutrino, an algorithmic price-stable "assetization" protocol built atop the Waves blockchain, appeared largely behind the increasing Waves TVL.

Notably, the protocol witnessed an inflow of 8.91 million WAVES in one day — worth nearly $450 million — to its smart contract, data from Defi Llama shows.

*Waves inflow into the Neutrino smart contract. Source: Defi Llama*

Neutrino allows the creation of decentralized stablecoins that maintain their U.S. dollar-peg by collateralizing WAVES tokens. The protocol has launched just one stablecoin project so far, called Neutrino USD (USDN).

The supply of USDN increased from around 800 million to 832 million on a 24-hour adjusted timeframe, coinciding with the rise in the WAVES inflow into the Neutrino smart contract. That presented Neutrino as one of the active WAVES buyers in the past 24 hours.

*USDN market capitalization in the last 24 hours. Source: CoinMarketCap*

What's next?

WAVES appears to have been breaking out of a bullish continuation pattern called a "bull flag."

In detail, the chart pattern looks like a downward sloping channel that appears after a strong price move upward (called "flagpole"). In a perfect scenario, it resolves by breaking out toward the level at a length potentially equal to the flagpole's size.

Applying the classic interpretation of the bull flag pattern to WAVES' ongoing price action suggests a continued price rally toward $100, as shown in the chart below.

*WAVES/USD weekly price chart featuring 'bull flag' pattern. Source: TradingView*

However, WAVES' weekly relative strength index (RSI) has turned overbought — a sell signal. That could have the WAVES/USD pair retrace towards $34 as its interim support level. That would also mean that traders are returning to bull flag's top for another upside confirmation.

As a result, a continued selloff below $17 would risk invalidating the entire flag setup.

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