The Algorand (ALGO) $ALGO coin seeks to integrate traditional and decentralized finance models, collaborating with banks and companies to create their own blockchains. Currently, already consolidated with a market capitalization of $1.35 billion, it highlights its presence in the market, but also suggests ample room for expansion.
Technical analysis:
On the weekly chart (1W), ALGO/USDT is outlining the "Cup and Handle" pattern, indicating a potential bullish move. At the moment, the approach to the bottom of the cup handle suggests a ripe opportunity for buyers to enter, supported by solid price support at the Fibonacci level 0.618 ($0.1517).
Confirmation of the weekly price base can be seen on the 4-hour (4H) chart, where the Relative Strength Index (RSI) indicator has reached the oversold level.
Another crucial point to highlight is the proximity of Altseason, a phase in which altcoins outperform Bitcoin. This trend is visible on the weekly chart (1W) of BTC Market Dominance (BTC.D), where a rising wedge is outlined. This chart pattern points to a greater probability of a downward breakout, indicating a possible start of Altseason.
This dynamic could underlie the formation of the Cup and Handle pattern in the ALGO cryptocurrency.
