The Telcoin price is surging this morning after breaking free from a five-month narrowing pennant formation. At one stage today, Telcoin (TEL) traded as high as $0.02600, around 53% higher than where it finished the day. As a result of the explosive move higher, TEL has cleared long-term trend resistance, which could propel the price of the telecom-focused crypto to a multi-month high.
Like most altcoins, Telcoin’s native TEL token has a chequered track record over the last five months. After a 200% rally from the July low, Telcoin reached $0.02980 in late August. However, the broader market weakness in September drove TEL lower by 54% to $0.0164, erasing most of the previous month’s gains. The price has been creeping higher over the last three weeks, although the real action came yesterday. The Telcoin price jumped 30%, hurdling the key moving averages, clearing trend resistance in the process. However, by the end of the TEL had pared the gains to 16% and closed beneath the trend line. Fortunately for the bulls, the positive momentum has continued today, which may cement the breakout.
The daily chart shows, Telcoin is trading at $0.2345, above descending trend line resistance (now support) at $0.0210. Significantly, the price has reclaimed the critical 200-day moving average at $0.0207. The 200 DMA, combined with the trend line, offers considerable support between $0.0207 and $0.0210. If Telcoin sustains $0.0207, a logical target for an upside extension is the August high at $0.02980. Moreover, an exaggerated upside move could lift TEL towards the 21st of May high at $0.0400.
The bullish Telcoin price prediction relies on a successful breakout. On that basis, if TEL drops below $0.0207, it will invalidate this thesis.
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