On Feb.5, Tomochain (TOMO) reached a new all-time high price. It has, however, decreased slightly since.
The drop served to validate the previous resistance area as support, and TOMO should resume its upward movement towards $2.20 and possibly higher.
On Feb. 4, the price broke out above the previous all-time high resistance area and reached an all-time high of $1.89 the next day.
Currently, it has returned and validated the previous breakdown level at $1.50 (green arrow). It is now in the process of moving upwards again.
Technical indicators are bullish and support the continuation of the upward movement. A bullish cross would confirm this in the Stochastic Oscillator, which will likely occur soon.
TOMO Wave Count
The wave count suggests that TOMO is in wave three (white) of a bullish impulse that began with the Mar. 2020 lows. Wave three has extended, and the most likely target for the top of the move is between $2.45-$2.75, using Fib extensions on both wave one and sub-wave one.
The sub-wave count is in orange, indicating that TOMO is in an extended sub-wave three.
Cryptocurrency trader @CryptoTony_ outlined a TOMO/BTC chart, showing an inverted head and shoulders pattern. It shows that it will likely go to 7,000 and possibly 12,000 satoshis.
At the end of Dec. 2020, TOMO fell below the 3,400 support area, which has been in place for more than a year. It reached an all-time low price of 1,966 satoshis on Jan. 2, 2021.
However, it reclaimed the area shortly afterward and has been increasing since. Technical indicators are also bullish, supporting the continuation of the upward move.
If it continues to move upwards, the closest resistance area is near 5,800 satoshis.
To conclude, TOMO/USD should continue its ascent into price discovery and reach a new all-time high price in the process.
TOMO/BTC will likely reach the closest resistance area at 5,800 satoshis and possibly break out.
For BeInCrypto’s latest Bitcoin (BTC) analysis, click here
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.