Telcoin Madness: what's next?Telcoin’s Price Action between May 10 and October 28 can be divided into two phases, the correction phase and the recovery phase. On May 10, Telcoin reached an ATH of $0.06; it progressed to a Cycle Low ( CL ) of $0.009 on July 20 (correction phase). Since then, it has stayed between the ATH and the CL . The two phases therefore are the correction phase from ATH to CL which ran for 70 days (May 11 to July 20), with a total volume of $2.175 billion. The Second phase can be characterized as the recovery phase which began on July 21 and continued at least to October 28. This recovery phase has lasted at least 99 days with a total volume of $1.338 billion.
Focusing on the recovery phase
If you take the ATH and the CL , the average price from these two phases is $0.0255. Interestingly, this price has been an area of major resistance. In the first phase, this region (of support then) was broken a number of times, with the final breakthrough on June 21. A recovery was attempted on June 30 without success. Since then, the price has stayed below this (now) area of resistance. During the recovery phase, Telcoin has tried to break through this area of resistance at least thrice, without success. On the downside of the recovery phase, there has been two areas of major support. The first one is the vertical line from the CL , the second one is the horizontal line around $0.018. What is important is that the two areas of support are now diverging at around October 28. While this are can be broken through on the downtrend, it is unlikely.
What happens next
From a price action perspective, it is likely that Telcoin price will recover at the major support area around $0.018. Thereafter, the major resistance is $0.0255. There might be some hiccups along the way, but these are not likely to be major.
The key is for Telcoin to break $0.0255. For this to happen, fundamentals need to align. In particular, the release of the mobile Telcoin V3.0 is of major significance. Similarly, the opening of the US remittance corridor is urgently needed, likewise listing of Telcoin in new exchanges.
If the fundamentals do not align, then Telcoin risks breaking below the $0.018 support level , and potentially going all the way to the CL of $0.009. This scenario will be fuelled by unhappy hodlers who may opt to take their investment elsewhere.
All in all, it all depends on what the Telcoin Team does in the coming days.
