Key Takeaways:
- Online entertainment industry blockchain BitTorrent rallied 10% on Jan 5.
- The weekly chart hinted at a continuation, with a target price at $0.015.
- BitTorrent Network launched its BitTorrent Chain mid December.
YEREVAN (CoinChapter.com) – BitTorrent’s in-house token BTT price rallied 10% in the previous session and hit $0.003 in the European session on Jan. 5. The digital asset formed a Falling Wedge on the daily chart, which puts BTT’s short-term price target up another 10% in the week ahead.
The Falling Wedge is a bullish reversal formation and predicts a breakout once the token exhausts the pattern. Moreover, BTT’s relative strength index (RSI) climbed into a more ‘bullish’ level at 60. In detail, an RSI reading between 50 and 70 reflects the traders’ high confidence in BitTorrent and raises the chances of them longing the token.
Also read: Cosmos may continue its Q1/2022 rally to $80 as ATOM explodes 60% in a week.
The decentralized P2P communications protocol could have an even more productive Q1, based on the Pennant, gracing the weekly chart.
BTT token for the win in Q1?
The Pennant setup mentioned above features two converging trendlines with an identical slope. It occurs after sharp rallies and represents an accumulation period before the asset launches a new leg up. As evident from the weekly chart, BitTorrent’s initial rally commenced a year ago, in Jan 2021.
The digital asset peaked at $0.013 on Apr. 5 and has consolidated ever since. However, the Pennant formation strongly indicates an approaching bullish continuation. BTT will reclaim its former all-time high level if the prediction pans out and possibly surpass it in Q1-Q2.
Also read: Bitcoin slips below $47K despite rally across risk-on assets.
Moreover, the Network presented its weekly report on Jan 5, first in 2022. According to the data, BTT redenomination and the subsequent burn of BTTOLD reached 19 billion.
BitTorrent token report after redenomination and BTTC launch
The said report claimed that BTT is available on 39 exchanges and counted over 1,17 million users. The weekly transactions stood at almost a million, while the overall transactions totaled 54 million.
In hindsight, the Network launched “the world’s first heterogeneous cross-chain interoperability protocol” in mid-December. The BitTorrent Chain (BTTC) adopted a proof-of-stake (PoS) consensus mechanism and enables interoperability with the public chains of Ethereum, TRON, and Binance Smart Chain, with “more chains to be supported in the future.”
Also read: BTT awaits massive breakout amid BitTorrent Chain rollout.
Moreover, the launch also included token redenomination. As a result, the Network burned BTTOLD tokens and posted a step-by-step swapping them for BTT.
