Trust Wallet benefits from uncertainty in crypto space

After the crypto market made new yearly lows in the wake of the FTX bankruptcy and Bitcoin fell back to USD 15,512, investors are increasingly losing confidence in central crypto exchanges (CEX) and withdrawing their crypto holdings from the exchanges. The losers here are the internal cryptocurrencies of the major exchanges Binance, Kucoin, Huobi and others. The attempt to use proof-of-reserve, that is, publishing existing coin reserves in the cold wallets of the major crypto exchanges, has not been able to reverse this trend so far. Similar to the stock market, however, other investment sectors in the crypto space often benefit from investors’ rethinking.

Over the weekend, coins and tokens from the area of ​​decentralized applications such as Uniswap emerged as the winners of the crisis. In addition to the decentralized exchanges (DEX), interest in decentralized wallet solutions is also increasing noticeably. In addition to hardware wallets such as Ledger, Bitbox and Safepal, investor focus also seems to be moving towards decentralized software providers such as Trust Wallet. Trust Wallet’s own token TWT was also able to benefit from this development in the last few trading days, increasing significantly in value with a massive increase in trading volume.

Trust Wallet was acquired by the largest crypto exchange Binance.com at the beginning of the year and is currently also enjoying positive investor comments from Binance CEO Changpeng Zhao (CZ). even advises to do so, not to store cryptocurrencies on central exchanges, but to transfer them to, for example, Trust Wallet. The fact that Trust Wallet, like industry leader MetaMask, recently presented its own browser extension further increases interest in the software solution.

Trust Wallet: 170 percent price increase

  • Bullish price targets: $2.36, $2.60/2.75, $3.21/3.41, $3.82, $4.49, $5.16, $5.57
4-hour chart Price analysis based on the TWT/USDT currency pair on Binance

TWT: Bullish price target for the coming week

After the TWT price reached the price-limiting upper uptrend line in the $2.74 area yesterday Monday and thus was able to generate a new record high, the software wallet provider’s price consolidated back towards the first important on Tuesday support zone around $1 ,91. Investors are already trying to stabilize the price here in the last hour of trading. In light of the significant price jump, the short term is completely normal and opens up further price potential for the coming days and weeks. Even a retest of the turquoise support area between USD 1.66 and USD 1.60 would be completely unproblematic for the buying camp and should persuade new interested parties to buy the TWT coin. Besides the 38 Fibonacci retracement, the EMA50 (orange) in the 4-hour chart is also running here. If the bulls manage to form a bottom in this area, another attempt to rise towards USD 2.07 is likely. If the 61 Fibonacci retracement here is overcome, the USD 2.36 mark will come into focus as the target mark. The 78 Fibonacci retracement running here failed to retrace multiple times within the last 24 trading hours. If the TWT price breaks this resistance, a march through to the horizontal resistance at USD 2.60 should be planned. A retest of the record high of $2.74 should follow only if TWT can overcome this price tag as well.

New all-time highlights in focus

If the bulls can then generate enough power and dynamically exit the red rising trend line, the next target area between USD 3.21 and USD 3.41 will be activated. This zone is derived from 127 and 138 Fibonacci projections. This is where the first investors are likely to want to realize profits. A retest of the previously overcome red upward trend line would even be optimal from a technical point of view. If the bull camp can then push the TWT price back towards the blue zone and then break through it, the 161 Fibonacci extension to $3.82 will come into focus as the target. This price level represented the next overall target for the TWT price. Take back profit. If Trust Wallet Token can also break through this resistance level in the future, a further advance to around USD 4.49 can be expected. In the medium term, a rise to the red target area between USD 5.16 and USD 5.57 is even conceivable. This maximum price target for the coming period is derived from the 238 and 261 Fibonacci projections.

  • Bearish price target: $1.91/1.86, $1.72, $1.66/1.59, $1.55, $1.40/1.36, $1.26/1.23, $1.13, $1.04, $0, 99

Bearish price target for the next seven trading days

If the TWT price breaks the support area between $1.91 and $1.86, support at $1.71 will come into focus. If the rate does not turn north here, as already mentioned, a short-term directional decision will be made for the coming trading days in the turquoise support zone. Here you will find a whole lot of course supporting levels. If, contrary to expectations, the bulls hold their own here as well, the correction to at least $1.55 will not continue. In addition to the supertrend, an important price level from September 2021 also runs here. If the TWT price also breaks through this support level under sustained selling pressure, the price should quickly fall to the lower edge of the orange zone. Here runs a cross support from the 23 Fibonacci retracement and horizontal support zone, which is derived from the old annual highs from March and April. In this area, the bulls should therefore show a strong interest in a new entry in the trust wallet token.

Lower TWT price target as general market weakness continues

However, should the overall market give way more clearly and TWT also corrects further, additional price targets will be activated at the bottom of $1.26 and $1.23. Next to the EMA200 (blue) you can also find the breakout level of the past weekend. Investors are likely to want to invest more here. On the other hand, if TWT breaks through this zone under sustained selling pressure, the sell-off extends to the horizontal support at $1.13. This would correct the TWT price back to its trading range for the last 25 days. If this price tag also fails, the current maximum support range between USD 1.04 and USD 0.99 will immediately come into focus. For now, this support zone is not expected to be abandoned, the interest in the decentralized wallet solution as an alternative to the central crypto exchanges as a storage option for cryptocurrencies seems to be too high. The decentralized mantra, “Not your keys, not your coins,” is likely to remain more important than ever in the future.

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