- Bittorrent Token (BTT) is likely to see 100% gains.
- The upside outlook comes in the wake of BitTorrent’s blockchain launch in October.
NEW DELHI (CoinChapter.com) — BitTorrent, the peer-to-peer for file sharing, seems to be heading for a bullish breakout that would likely see its prices gain 100% or more.
BitTorrent became decentralized when the TRON platform acquired it in July 2018. The acquisition upgraded BitTorrent’s platform with additional tools and a dedicated native cryptocurrency, the BitTorrent Token. Recently, TRON and BitTorrent announced the launch of the BitTorrent chain (BTTC).
Since its launch, TRON has evolved into a network with more than $50 billion in assets on its blockchain. TRON now processes an average of $10 billion per day. The TRON protocol incorporated the BTTC is a Layer 2 solution.
Layer 1 of the TRON protocol would help deliver safe and fast transaction settlements at reduced fees for financial institutions, crypto assets, and decentralized finance.
Meanwhile, BTT prices are moving in a bullish pattern called the bull flag. In detail, a sharp countertrend (flag) succeeding a short-lived trend (flagpole) form a flag pattern. Thus, a bullish flag appears like an upright flag on the price charts.
The upside target of a bull flag is equal to the length of the flag pole projecting from the breakout point. As such, BTT prices are likely to reach $0.00786, resulting in a gain of about 118% for BTT investors.
BitTorrent Price Action
BTT didn’t have a very positive October, gaining only 13% in the month. However, as the prices have formed a bullish pattern on the charts, investors would likely buy the current dip to gain profits. Currently, the 26-day Exponential moving average trendline acts as dynamic resistance for the token.
Further resistance is at $0.00381, provided by the 50-day MA trendline. Finally, if the bulls manage to push prices above the 50-day trendline, BTT will encounter resistance at $0.00413, a price level that has acted has capped any upside movement since Sept 7.
Moreover, the 200-day MA trendline serves as a resistance near $0.0044. Therefore, BTT bulls need to push prices above both MA trendlines so that the BitTorrent Token can be bullish across all time horizons and continue its uptrend.
In case of a downtrend, BTT would find support at $0.0034. On the other hand, if the downtrend continues, bulls will try to consolidate above the next support level at $0.00324. Further support for BTT comes from the bull flag’s lower trendline at $0.00299.
BTT has not breached the support at $0.00299 after moving above it on Aug 4.
Meanwhile, trend-based momentum oscillator MACD plotted a bearish crossover for BTT on Tuesday. A bearish crossover forms when the MACD line (difference between 12-day and 26-day EMA) moves below the MACD signal line (9-day EMA of MACD).
Bars on the MACD histogram, which plots the difference between the MACD trendlines, went below zero on Oct 19. The relative strength index for BTT is currently neutral, clocking 47.93 on the daily charts. The current bearish phase would likely end once the BTT chain goes live.
BTT Chain and BitTorrent Token
The BitTorrent Chain serves as a cross-chain bridge for the TRON network. Meanwhile, developers may build apps using BTTC to be faster and cheaper. In addition, the BitTorrent Chain provides complete transparency of all nodes, custodial accounts, and full transaction traceability.
The measures ensure asset security for all BitTorrent Chain users.
At present, BitTorrent is the biggest file-sharing protocol with over 100 million users. BTT has had a good 2021, gaining 1147% since Jan 1. Once BitTorrent launches its blockchain, prices are likely to climb as BTT would serve as the chain’s native token.
BTT is a TRC-10 token, which developers, investors, and traders would likely use as a transaction fee or staking. BitTorrent would likely work towards developing a blockchain ecosystem with BTT built into it. With increased use cases, BTT’s demand would increase, and consequentially, so would its prices.
Staking would also attract investors and traders to the BitTorrent/TRON ecosystem. In addition, the upcoming chain launch, coupled with the low prices of BTT, is likely to attract large investments, which would provide bullish tailwinds for BTT’s rally.
With its current 100 million user base, it would not be surprising if BTT surpasses the upside target of 118% sooner rather than later. At the time of writing, BTT was trading at $0.0036, up 0.78% on the day.