Tellor (TRB) Surges to New Yearly High
Tellor (TRB) has experienced significant growth in recent weeks, making it one of the best-performing cryptocurrencies since September. The price of TRB has surged by 235% during this period, reaching a new yearly high of $53 on September 27.
The breakout from a symmetrical triangle pattern has further accelerated the upward movement of Tellor, contributing to its impressive performance.
The Price Surge and Technical Analysis
Over the course of 26 days, TRB’s price has seen a remarkable increase. The surge culminated in a peak of $53 on September 27, the highest price recorded since November 2021.
Despite such rapid growth, the entire increase has remained within a parabolic ascending support trendline. While these trendlines are unsustainable in the long run, they can still support an upward trend as long as the price doesn’t close below them.
Technical indicators provide further insights into the current market conditions. The daily RSI (Relative Strength Index) suggests that a local top may be approaching. Traders can use the RSI to determine whether an asset is overbought or oversold and make informed decisions regarding accumulation or selling.
In this case, with an RSI reading above 50 and increasing, there is a bullish trend. However, a significant bearish divergence has emerged over the past two weeks, indicating a potential local top.
Predicting the Local Top with Elliott Wave Theory
Elliott Wave (EW) theory is often employed by technical analysts to identify recurring price patterns and predict market trends based on investor psychology.
According to EW theory, TRB is currently in its fifth and final wave of an upward movement. Notably, wave four features a symmetrical triangle pattern, which adds credibility to this wave count.
If this analysis holds true, TRB’s price could reach a local top between $58 and $60. This prediction is based on the 1.61 external Fibonacci retracement of wave four and the 0.618 length of waves one and three.
Alternatively, if the wave extends, the next likely area for a top would be between $72.50 and $76, representing a 50% increase from the current price.
Considerations and Potential Price Corrections
While the TRB price prediction suggests further growth, it’s crucial to monitor certain price levels for potential corrections. A close below $45 on the daily chart could indicate that the top has already been reached.
In such a scenario, TRB’s price may experience a 30% decline and reach the support area around $35.
Hot Take: Tellor (TRB) Soars to New Heights but Faces Potential Correction
Tellor (TRB) has seen remarkable growth in recent weeks, surging to a new yearly high of $53. Technical analysis suggests that TRB may be approaching a local top, with indicators like RSI and Elliott Wave theory pointing towards potential corrections. While there is still room for growth, traders should remain cautious and monitor key price levels for signs of a reversal. The cryptocurrency market can be volatile, so it’s important to stay informed and make informed decisions based on thorough analysis.
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