- Swipe price is consolidating in a “cup and handle” pattern, which predicts an 80% upswing to $5.66.
- However, a decisive close above the neckline at $3.12 is necessary to kickstart this rally.
- Transactional data shows stable support barriers below the current price level and little to no resistance ahead for SXP.
Swipe price shows signs of a new bull rally as it approaches the end of a consolidation phase. However, SXP must breach a key supply barrier for the bullish thesis to hold true.
Swipe price on the verge of a breakout
Swipe price is traversing a bullish pattern known as cup and handle. SXP formed a series of lower lows followed by a series of higher lows between August 2020 and February 2021. This price action resulted in a “cup” portion of the technical formation, while the consolidation that followed this formed the “handle.”
The setup forecasts an 80% upswing, which is the distance between the right peak and the bottom of the cup and adding it to the neckline at $3.12. This target places SXP at $5.66.
SXP/USDT 3-day chart
Adding credence to this bullish thesis is IntotheBlock’s In/Out of the Money Around Price (IOMAP) model, which shows a concentration of “In the Money” buyers around the $2.65 level. Further, there is little to no resistance ahead. Hence, Swipe price shows a bullish bias that could result in a successful breach of the neckline followed by an 80% upswing.
Swipe IOMAP chart
While the overall outlook for Swipe price looks bullish, investors should note that the uptrend is dependent on the breach of the neckline. A failure to do so will result in a pullback to the immediate support at $2.73. A sudden spike in selling pressure could cause the altcoin to correct up to $2.53, where roughly 330 addresses hold about $18 million SXP here.