A closely followed crypto strategist believes that one Ethereum (ETH)-based token is gearing up for a significant burst to the upside.
Pseudonymous analyst Rekt Capital tells his 347,000 Twitter followers that the Ethereum-based supply-chain management blockchain VeChain (VET) appears poised for a rally after reclaiming both its horizontal and diagonal support levels on the monthly timeframe.
According to Rekt Capital, he’s expecting VET to rally to its next monthly resistance at $0.269.
“Forming a new higher low (black).
And if indeed the June monthly candle closes just like this, it’s possible VET could consolidate via the green path over the coming weeks.
Still needs to confirm the new higher low.”
At time of writing, VET is trading for $0.18.
Next up is Waves (WAVES), a protocol focused on token and decentralized application (DApp) creation. According to Rekt Capital, WAVES could be on the verge of carving a bottom on the monthly chart as it creates a triangle pattern. Rekt says the bottom could be confirmed if WAVES takes out its resistance at $2.50.
“May be developing a macro triangle, not yet clear if ascending.
Blue $2.50 resistance may be the breakout point for the triangle.
Breakout would enable a return into the blue-blue range for some 40%-wide consolidation.”
At time of writing, WAVES is worth $2.22.
Another altcoin on the trader’s list is the internet-scale blockchain MultiversX (EGLD), formerly known as Elrond. Rekt Capital says that EGLD managed to stay above its monthly support at $32.54. Should EGLD bulls continue to hold the immediate support area, the analyst predicts a rally for MultiversX to around $40.
“Great reaction from horizontal support (black).
Continued stability here and EGLD will avoid a breakdown into the range denoted by blue arrows.
More, holding here could enable an EGLD rally to the year-long downtrend (black).”
At time of writing, EGLD is worth $35.44.
The last altcoin on the analyst’s radar is the fan engagement token Chiliz (CHZ). According to Rekt Capital, CHZ remains in a multi-year bear market, but the token could rally to $0.096 as long as it is above its immediate support at $0.05.
“Red multi-year downtrend has been weighing on CHZ.
In fact, it forced a breakdown from blue support.
Now that CHZ has found support at black below…
CHZ could try to rally to blue to check if it will become new resistance.”
At time of writing, CHZ is trading for $0.08.
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Featured Image: Shutterstock/Tithi Luadthong/Natalia Siiatovskaia
