Echelon Prime’s (PRIME) price dropped to $4.18 earlier today. This value represents the lowest the cryptocurrency with fundamentals in gaming has reached since November 2023.
However, shortly after PRIME’s price dropped to the 19-month low, it bounced. As of this writing, the token trades around $4.55, showing signs of a sustained rebound. Will this bullish sign be enough to spark a complete comeback?
On Jan. 6, PRIME’s price was around $17, a 75% increase from Dec. 22, 2024.
However, since reaching that peak, the token has struggled to sustain a rebound like a large part of the market. As a result of this underwhelming performance, 98% of the total Echelon Prime holders are in unrealized losses.
Only 1% of this cohort is in profit, while another 1% holds at their original on-chain cost basis as shown by the Global In/Out of Money (GIOM) indicator below.
PRIME Global In/Out of Money | Credit: IntoTheBlock
Wedge Pattern Emerges Amid Rising Accumulation
Despite the unrealized losses lingering around PRIME, it appears that the cryptocurrency could be inching toward recovery.
For starters, the daily chart shows that PRIME’s price drop from $13.20 to $4.18 has led to the formation of a falling wedge. A falling wedge is a pattern defined by two descending trendlines—one tracking lower highs and the other tracking the lower lows.
The wedge appears once these two trendline converge at one point. According to the image below, the Chaikin Money Flow (CMF) seems to be supporting the recovery.
The CMF measures the level of accumulation or distribution around a cryptocurrency. When it rises, it indicates buying pressure, and when it drops, it signifies selling pressure.
On Monday, Feb. 24, the CMF reading dropped to -0.38. As of this writing, that reading is on the brink of breaking above the zero signal line, indicating that PRIME’s price has formed a bullish divergence.
Should the CMF reading break above the signal alongside a rise above the upper trendline of the falling wedge, then PRIME’s price confirm the uptrend.
PRIME Price Analysis: Recovery to Follow
Looking at PRIME’s price action through the daily chart lens again, the Moving Average Convergence Divergence (MACD) shows that the bullish divergence could be valid.
The MACD measures momentum using the relationship between two Exponential moving Averages (EMA). When the reading is negative, it means the longer EMA has crossed above the shorter one, and momentum is bearish.
But in this scenario, the 12 EMA (blue) has crossed over the 26 EMA (orange), validating the bullish momentum. Should this remain the same or improve, PRIME’s price might breach the resistance at $5.67.
If successfully broken, this might lead the altcoin’s value toward the $7 mark. In a highly bullish scenario, PRIME could rise to the 0.618 golden ratio near 9.46.
On the flip side, if the token fails to rise past the $5.67 resistance, this prediction might be rendered null and void. In that case, PRIME’s price could sink below the $4 mark.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
