Icon (ICX) Price Rallied 100% In A Week After Confirming Bullish Wedge Pattern

Key Takeaways:

  1. Icon’s native token ICX broke out of a bullish technical pattern.
  2. The platform shared testing details for its BTP 2.0
Kharkov, Ukraine - February 2, 2022: Icon ICX coin symbol. Trade with cryptocurrency, digital and virtual money, mobile banking. Hand with smartphone, screen with crypto icon close-up
Icon (ICX) Price Rallied 100% In A Week After Confirming Bullish Wedge Pattern

NEW DELHI (CoinChapter.com) — Blockchain platform Icon’s native token, ICX, price broke above a bullish technical pattern called the falling wedge.

The technical pattern forms when the price fluctuates inside a pair of falling trendlines that would converge down the slope. The outcome of such downside patterns is typically a price breakout to the upside.

One key feature of the pattern is that volumes usually decline as the trendlines converge.

ICX price broke out of a falling wedge pattern with a 316% price target
ICX’s price fell from a falling wedge pattern with a 316% price target. Source: Tradingview.com

The upside target for the breakout is equal to the maximum distance between the falling wedge’s upper and lower trendlines. Thus, confirming the pattern could see the Icon token reach $1.55, rising 316% in the process.

Since breaking out of the pattern, the Icon token rose by 65% to a daily high of $0.412 on April 4.

ICX Price Rally Raises Overbought RSI Fears

ICX’s price jumped more than 34% on April 4 to form a daily high above $0.4 for the first time since June 2022. In addition, the rally helped ICX’s price record over 185% YTD gains. However, the relative strength index has become overbought for ICX, currently clocking at 78.85 daily.

Overbought RSI levels often precede an asset’s trend reversal, which is why traders could consider it a sell signal. Furthermore, long upper wicks on the Icon token’s daily candles highlight bears are aggressively defending the upper price levels.

ICXUSD daily chart with RSI and a golden cross
ICXUSD daily chart with RSI and a golden cross. Source: Tradingview.com

If more sellers enter the market, ICX’s price might drop to support near $0.352. Moreover, breaching the immediate support level could force the Icon token to shed over 20% from the current level and test support near $0.308.

Meanwhile, ICX’s recent price action has helped its 20-day EMA (red wave) cross above its 200-day EMA (green wave) to form a bullish pattern called the golden cross. Market participants consider the pattern an indicator of positive sentiment and a buy signal.

Also Read: India and Russia ditch European Brent benchmark for Dubai in latest oil deal

Bulls might try to increase the buying pressure to get ICX price to close above immediate resistance near $0.4. Moreover, a break and hold above the immediate resistance might help ICX price target resistance near $0.461 before retreating.

Icon Deploys BTP Contracts On Berlin Testnet

Icon Project announced taking another step towards introducing BTP 2.0 on April 4. The platform shared that it had successfully deployed one-way trustless BTP contracts on Icon’s Berlin testnet, BNB Chain testnet, and Ethereum’s Sepolia.

ICON, Icon (ICX) Price Rallied 100% In A Week After Confirming Bullish Wedge Pattern
Icon shared a roadmap for the BTP 2.0.

Icon stated that the development team was confident that “a BTP 2.0 testnet is a non-distant goal” despite some challenges remaining.

The Icon project aims to provide independent blockchains with different governments a medium to interoperate without intermediaries. The platform uses BTP (Blockchain Transmission Protocol) to achieve its goal.

BTP is a standard that helps heterogeneous blockchains with smart contract capabilities interoperate smoothly.

Leave a Comment

Related Articles

Our Partners

SwapCoin.com RapidCoin.com ChangeNOW.com Paybis.com WestcoastNFT.com