Trust Wallet Token price analysis: Will the rally continue?
Content
FTX’s implosion in November has been negative for most cryptocurrencies, but Trust Wallet Token (TWT) has been a huge gainer during the period. After rising about 70% in November, TWT is attempting to resume its uptrend in December. Buyers are trying to push TWT above the overhead resistance of $2.45 as of 8 December 2022.
The collapse of the FTX cryptocurrency exchange dealt a big blow to investors’ confidence in centralised exchanges. Dylan LeChair, head of market research at BTC Inc, tweeted on 26 November that 179,250 Bitcoin (BTC) was withdrawn from exchanges in 30 days, which is a new record.
179,250 #bitcoin have been withdrawn from exchanges on a net basis over the the last 30-days, another new all time high. $BTC pic.twitter.com/Xc3Slwd0ln
— Dylan LeClair ???? (@DylanLeClair_) November 26, 2022
Trust Wallet received a boost when the CEO of Binance,Changpeng Zhao endorsed the platform and encouraged investors to take control of their coins.
.@TrustWallet your keys, your coins. https://t.co/pJUc26kQ7n
— CZ ???? Binance (@cz_binance) November 13, 2022
Could Trust Wallet Token go up further or will it succumb to profit-booking? Read the TWT price analysis to find out.
Trust Wallet Token price technical analysis: Weekly chart
Trust Wallet Token TWT weekly chart 8/12/2022 – Source: Capital.comTWT’s price picked up momentum after buyers pushed it above the overhead resistance at $1.37. The 20-week exponential moving average (EMA) is sloping up, indicating advantage to buyers, but the overbought reading on the relative strength index (RSI) suggests a consolidation or correction may be around the corner.
The important level to watch on the upside is $2.72, and on the downside, $1.80. The TWT/USD pair could consolidate inside this large range for a few weeks.
If the price consolidates near the overhead resistance of $2.72, it will suggest that traders are not booking profits as they anticipate a move higher. If the price breaks and closes above $2.72, the pair could soar to $3.70.
On the other hand, if the price turns down from the overhead resistance and breaks below $1.80, it will indicate that traders are rushing to the exit. That could open the doors for a deeper correction to the 20-week EMA.
Trust Wallet Token price technical analysis: Daily chart
TWT daily chart 8/12/2022 – Source: Capital.comBuyers are attempting to push Trust Wallet Token’s price above the overhead resistance at $2.45. The upsloping moving averages and the RSI in positive territory indicate the path of least resistance is to the upside.
A close above $2.45 could open the doors for a retest of the stiff resistance at $2.72. The bulls will have to clear this hurdle to signal the resumption of the uptrend. The pair could then climb to the target objective of $3.10.
Conversely, if the price turns down from the current level and breaks below the 20-day EMA, it will suggest that the pair may remain stuck between $1.80 and $2.45 for some more time.
The bears will have to sink and sustain the price below $1.80 to gain the upper hand. If they manage to do that, panic may set in and the pair could sink to $1.36.
Trust Wallet Token: Buy or sell this week?
Trust Wallet Token is trying to break above the immediate resistance of $2.45 and retest $2.72. If this resistance gets taken out, the pair may rise to $3.10. Alternatively, if the price turns down from the overhead resistance and breaks below the 20-day EMA, it will suggest that traders may be booking profit. Trust Wallet Token’s price analysis suggests that the pair could then decline to $1.80.
The views and opinions expressed in the article are those of the author and do not constitute trading advice. Trading and investing involve substantial risks and you should do your own research or contact your financial adviser before arriving at a decision.
Related reading
Trust wallet token price prediction: Can it sustain the breakout?
