The cryptocurrency market experienced a sudden surge in buying pressure recently, primarily due to macroeconomic events such as the US debt ceiling deal. With this recovery in progress, several cryptocurrencies are reclaiming lost ground while demonstrating bullish patterns that could result in massive growth amid the anticipated recovery rally.
One such cryptocurrency is Solana (SOL), which saw its price remain within the boundaries of two converging trendlines during the last five weeks’ correction phase. This convergence signifies a potential decrease in selling momentum, ultimately leading to buyers regaining control of the trendlines. On May 27th, the SOL price experienced a significant breakout, with the current price sitting at $20.5 – a clear indication of positive market sentiment. If the price manages to remain above the breached trendline, buyers may drive it to a potential target of $24 or $26, resulting in a maximum gain of 27%.
Another cryptocurrency displaying a bullish pattern is Chainlink (LINK). Despite recent volatility in the crypto market, the LINK price found stable support at $6.2, subsequently forming a double bottom pattern. This pattern typically accumulates bullish momentum and may trigger significant growth if the resistance neckline is breached. Currently trading at $6.59, the Chainlink price is expected to reach $6.68 under the influence of this pattern. If successfully flipped into potential support, the altcoin could rise another 10% to hit $7.47, followed by $8.5 and $9.5.
Lastly, Cosmos (ATOM) presents another noteworthy bullish divergence. Despite forming a descending triangle pattern – typically a downtrend continuation – the RSI indicator suggests that the asset’s recent price momentum is increasing. Consequently, the ATOM price also holds the possibility of breaching the overhead trendline. Should a bullish breakout occur with successful daily candle closing, the price could climb 43% higher to reach $15.4.
While these bullish patterns may offer significant growth potential amid the ongoing market recovery, it is crucial to conduct thorough market research before investing in cryptocurrencies. Market conditions are subject to change, and the presented content, including the author’s personal opinions, may not guarantee a specific outcome or safeguard against financial loss.
Source: Coingape
