• GRT price is in a tight consolidation above the 50-day simple moving average (SMA)
  • There is a high potential for one of the highest ROIs in the short term.
  • However, The Graph is vulnerable to massive one-day swings.

GRT price for the last six days has contracted into a very tight range on light volume, showing a stand-off between bulls and bears. For traders, it is a timely trading opportunity with explosive upside potential.

GRT price has narrowed into an isosceles triangle

Like other standard triangles, prices in a symmetrica or isoscelesl triangles must touch each trend line at least twice and cover the area in-between. In general, volume declines during the pattern formation, with a 75% probability of an upside breakout. 

The Graph price has shown declining volume through the triangle's development and has discovered support at the 50-day SM, just below the middle of the Bollinger Band. To confirm the breakout, GRT must close above the upper trendline on a daily basis and ideally near the high of the daily candle. The immediate price target is the upper Bollinger Band at $2.07.

The rally’s durability will be tested between the .618 and .786 Fibonacci retracement levels at $2.30 and $2.56. To add to the challenge, there is an area of price congestion on the left side of the triangle that converges with the retracement levels.

A successful push through the congestion will let GRT price test the all-time highs at $2.90 in short order and potentially the measured move target of $3, representing a 60% gain from the declining trendline.

GRT/USD daily chart

GRT/USD daily chart

There is no doubt there is a substantial area of support for The Graph price as the ascending trendline intersects with the 50-day SMA and the lower Bollinger Band. A daily close below $1.57 would put the bullish narrative in doubt and leave the cryptocurrency exposed to a quick drop to the February low at $1.33.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Dogecoin bulls hold the key for 40% gains

Dogecoin price has seen a massive surge after Elon Musk’s recent tweet revealed that he is working with the developers of the meme coin to improve its transaction efficiency. With DOGE approaching a critical point in its uptrend, more gains stand to be realized if buyers push through.

More Dogecoin News

Ethereum Classic targets $500 next

Ethereum Classic price surged by over 400% during the first week of May, creating a new all-time high at nearly $180. ETC has retraced since then by over 50% and is currently trading at $0.87. Now, this cryptocurrency seems prime to resume its uptrend as it tries to break out from a continuation pattern.  

More Ethereum Classic News

Ripple reversal could result in 30% advance

XRP price has witnessed a massive crash due to the Tesla-induced market crash on Wednesday. Now Ripple could either test the immediate demand barrier or slice through the supply zone to rally higher.

More Ripple News

Bitcoin clings to support, on-chain metrics show sellers' onslaught

Bitcoin price underwent a severe nosedive as Elon Musk revealed Tesla’s decision on accepting payment in BTC. This development was the major highlight of the week, with the recent mining difficulty adjustment coming in at a close second. 

More Bitcoin News


Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast