WadzPay (WTK) approaches the bottleneck within a triangle pattern, teasing a breakout run shortly despite challenges posed by its high supply.
Experiencing a deadly correction wave, the WTK token is gradually rising to reinstate the bullish trend. However, the constant increase in supply pressure keeps the bullish growth under check and limits the possibility of reversal.
The asset faces a triangle pattern that holds the battlefield, with bulls trying to end the correction phase and the lower high formation. Will a bullish breakout result in a massive spike in WadzPay, or is a downfall imminent?
Converging Trends to Decide WadzPay Fate
With a bullish reversal from the crucial support level of $0.0256, WadzPay token begins the journey to overcome the prevailing downtrend. The previous downfall accounts for a 71% decline within five weeks from the peak of $0.0894.
The recovery wave sprouts from $0.0256 and leads to a contracting wave in a lateral fashion. Further, the reduction in sharp volatile moves, reflecting a lack of trend momentum, leads to the generation of two converging trendlines.
With this, the triangle pattern formed in the chart above traps the WadzPay token. Further, the sideways trend approaching the bottleneck leads to a similar move in the momentum indicators.
The MACD and signal lines are merged while the daily RSI line moves along the halfway line. However, the RSI indicator offers a bullish perspective in a shorter timeframe.
On a closeup in the 4H chart, the daily RSI line shows a bullish divergence in the last two dips at the support trendline. Thus, the shorter timeframes offer a higher likelihood of a bull cycle in the WadzPay token.
Will WTK Bulls Break the Triangle?
Despite the dark clouds of massive overhead supply pressure, the underlying demand for the WadzPay token is increasing. As the RSI line provides a divergence, the lower price rejection candles support the uptrend chances.
With the triangle and 23.60% Fib level break, the WTK token could reach the 50% Fibonacci level at $0.0575. On the downside, a break under the crucial support trendline could drop the WadzPay Token to $0.0256.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
