Bytecoin About To Boom!
This week, Bytecoin continues to climb in the market, as the recently neglected privacy coin racks up a hair-raising 56.25% gain against BTC over the past days.
As reported by Bytecoin website, their Binance listing it’s now in progress after months of community pleas and petitions to see the coin added to the world’s biggest digital currency exchange.
This could be the answer for the sudden surge in support, with over 70% of all BCN trades now taking place on the HitBTC exchange as the early birds flock together to buy up cheap positions in hopes of big news.
Looking into the 1D chart we can see a consolidating bullish pennant pattern take shape, with lower highs and lower lows pinching into a breakout area around 40 Sats.
Judging by the pitched resistant line, we can predict this latest bull run to peak somewhere in the region of 70 Sats before we expect blustering opposition and profit taking. This would deliver a further 40.45% gain from the current BCN price of 50 Sats.
From there, we’d expected to see the price action progress to oscillate between 40 and 60 Sats as it reaches consolidation in early May.
My price target for the breakout would be set at 100 Sats where the asset would undoubtedly meet strong selling pressure from auto-trades and profit taking.
The climb would experience a gain of 152.48% from the bottom of 40 Sats, which is not too dissimilar to the surging gains we witnessed during Bytecoin’s last big bull run back in January.
Things are looking pretty good for the current uptrend, with MACD breaking above the signal line with bullishly divided moving averages.
The Ichimoku indicator is also beginning to favor the current uptrend, with a bullish twisting Senkou cloud projecting a support ahead of the price action at 40 Sats and rising. The price action is also bullishly breaking above the Kijun Sen line.
RSI is now displaying the asset as overbought with momentum starting to retrace back inside the channel – expect a slight sell-off, maybe down to the softer support at 48 Sats, before the uptrend progresses again.
The biggest confirmation of a continuing breakout comes from a recent golden cross from the 50/200EMA on the 4hr BCN/BTC chart. This is the big buy signal for most risk-conscious traders as market sentiment is perfect for Bytecoin at the present time.
Taking into consideration the short-term indicators, I think we could easily see Bytecoin hit the early resistance at 60 Sats over the next few days provided the market doesn’t stray too far away from the current trend. At this moment we can see some slight selling pressure at 55 Sats but it should be easily overcome with continued support.
With regards to the longer term consolidating pattern, we could see the breakout start much sooner if the market continues to swell as it has been over the past week, with investment flooding back in after the 2-month drought. There’s a potential for the price to correct much higher around 60 Sats after hitting the peak at 70, with the price rebounding beyond the pennant pattern from there.
It’s also worth noting that with Bytecoin now valued at $0.003, it’s by far the cheapest privacy coin on the market which makes it an attractive asset for new investors who might be looking to buy into the market for the first time with a small initial investment.
