In a recent insightful analysis, the cryptocurrency market has shown promising signs of recovery with three notable altcoins – Shiba Inu, Solana, and Cardano. These market movers have observed a buy signal, a harbinger of positive trends, stirring renewed hope in the investing community.
Analyst Ali Martinez has painted a detailed picture of these trends by examining a Tom Demark (TD) Sequential signal, a well-known barometer in technical analysis circles. The TD Sequential signal aims to pinpoint probable points of price reversal in an asset’s trajectory, spotlighting potential tipping points.
The TD Sequential signal operates in two stages: the setup and the countdown. During the setup phase, the process tracks a succession of similar color candles up to nine. When nine such identical candles are identified, one can reasonably infer an impending turnaround in price.
Crucially, if the setup concludes with green candles, it suggests the asset may have reached a peak. Conversely, if a downtrend finishes the setup, it could imply a rebound towards an upward trajectory.
But the analysis doesn’t stop there. It then goes into the countdown mode, a phase reminiscent of the setup, albeit with thirteen same-type candles instead of nine. The completion of the countdown phase may signify another provisional price reversal juncture.
Zooming in on three protagonists – Shiba Inu, Solana, and Cardano – it appears they have wrapped up a TD Sequential phase, as showcased in their daily charts. In this case, all three have formed the signal with red candles, therefore, the indicator now implies a buy signal.
This encouraging deviation is born out of a recent downturn trend observed in these altcoins. Given the solid reputation of TD Sequential signal among investors, they might anticipate a reprieve for these assets.
Indeed, since the buy signal’s inception, the coins have already initiated a rebound, with Solana standing out thanks to a robust 9% leap in the past 24 hours.
However, the longevity of this uptrend in these coins remains an open question. Notably, Cardano and Shiba Inu, which have only recorded upticks of 5% and 4% respectively.
Focusing on Shiba Inu, the last month represents a rough patch for its investors. This meme coin has retreated more than 30% over this period, driving its price down to mere $0.0000173. Persistent downturn trend has haunted this digital currency, leaving a visible mark on its performance.
But as the saying goes, it’s always darkest before the dawn. These signals may suggest a turn of tide in the volatile cryptocurrency market, offering a glimmer of hope to its investors.
