The Trump crypto coin price could rebound after forming a rare double-bottom pattern.
Summary
- Trump crypto coin could rebound after forming a double-bottom pattern.
- The rebound will happen despite the ongoing exchange inflows.
- Whales have continued to dump their TRUMP coins.
Official Trump (TRUMP) token was trading at $8.68 on Sept. 9, a few points above this month’s low of $8.25. It has plunged by over 90% from its all-time high, erasing billions of dollars in value.
Trump crypto coin price points to a rebound
The daily time frame chart points to an eventual rebound in the next few days or weeks. It has formed a double-bottom pattern at $8.25, its lowest swing in June and September this year.
A double-bottom is made up of two distinct lows and a neckline, which, in this case, is at $11.94, its highest point on July 25.The profit target in this pattern is estimated by first measuring the distance from the neckline to the double-bottom and then measuring the same distance from the neckline.
Therefore, the price may soon surge to $15.65, which coincides with the highest swing in May this year. That would imply an 82% jump from the current level.
The bullish Trump coin price forecast will become invalid if it drops below the neckline at $8.25. A move below that level will point to more downside, potentially to $5.
Trump meme coin exchange balances are rising
The bullish Trump coin forecast is based only on technicals, as fundamentals are relatively weak. Nansen data shows that many investors have been moving their tokens from self-custody to crypto exchanges, a sign of selling.
There are now 129 million TRUMP tokens on exchanges, a 3.92% increase in the last 30 days. The supply has jumped from a low of 123 million on Aug. 19.
At the same time, whales have continued to dump their coins in the past few weeks. Whales now hold 5.13 million coins, down from a high of 5.66 million in August. Whale selling is often a red flag in the crypto market.
The potential catalyst that may drive the TRUMP coin price higher is the approval of applications by Canary, Osprey Funds, and REX Shares. Such a move would lead to more inflows from American investors.
