Key Takeaways
POPCAT reached a new all-time high of $1.74 following a prolonged rally, but signs suggest its uptrend could soon be completed.
Here’s a brief analysis of what to expect next.
After reaching its previous all-time high of nearly $1 on July 20, POPCAT’s price began to decline.
Initially, it traded sideways, reaching a lower peak of $0.96 on July 27 before entering a more pronounced downtrend.
By Aug. 5, POPCAT had dropped 73.85%, hitting a low of $0.26, where it interacted with an ascending support level.
The daily Relative Strength Index (RSI) dropped to an oversold level of 34%.
However, the price quickly rebounded, starting an uptrend, bringing it to $0.66 by Aug. 10 and $0.80 by Aug. 25.
After the sharp decline, these highs suggested a corrective upward movement, but the price remained above the descending resistance on the expected pullback.
Strong upward momentum from Sept. 6 led to a new bull phase, and today, POPCAT made a new all-time high of $1.74.
As it remains in an uptrend, there are some signs that the upside room could be limited. A bearish divergence between the daily chart RSI and the wave structure implies the price is in its ending wave. How far can it go before making a downturn?
Zooming into the hourly chart, we see that the price made an ascending triangle from Oct. 7, an ABCDE correction as wave four of the higher degree count.
Its development ended on Oct. 26 at a low of $1.30 when a new five-wave impulse began developing.
This is assumed to be its ending wave, with two more lower-degree sub-waves expected. Currently, POPCAT is in its wave three with slightly more upside room before it makes a minor pullback.
However, one more higher high could bring the price to a new all-time high close to $2.
After this, we can anticipate a reversal as the momentum could halt, marking the end of the five-wave increase since Sept. 6.
In conclusion, POPCAT has slightly more room for the upside, but the wave structure hints at an uptrend completion.