TAEL (WABI/BTC) is a market that looks ready to explode. It has been trading between 0.000023 and 0.0000577 for almost six months now. While it is in accumulation mode, the price has been gradually compressing. The trading range is becoming narrower and narrower after each trading day. It won’t take long before the finally breaks out of the narrowing range and most likely pumps hard.
Technical analysis shows that WABI/BTC is forming a symmetrical triangle on the daily chart. TAEL appears to be concluding the D wave of the triangle as it struggles to take out the diagonal resistance. This suggests that the market is due for one more leg down (E wave) before it breaks out of the pattern.
In addition, all of the moving averages are crawling below the price. On the daily chart, we can see the 50-day moving average gliding above the 100-day moving average and the 100-day moving average crawling on top of the 200-day moving average. This alignment suggests that TAEL is about to start a bullish trend.
The strategy is to buy the dip as close to the support of 0.0000345 as possible. As long as bulls protect this level, TAEL will likely rally and eventually take out the diagonal resistance. This will trigger the breakout from the symmetrical triangle pattern and likely drive the market to our targets of 0.0000577 and 0.0000757.
The process may take less than a month.
Daily Chart of TAEL/Bitcoin on Binance
As of this writing, the TAEL/Bitcoin pair is trading at 0.00004087 on Binance.
Summary of Strategy
Buy: As close to 0.0000345 as possible.
Targets: 0.0000577 and 0.0000757.
Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.