After dropping nearly 80% over the last 90 days, the official Trump token (TRUMP) might be gearing up for a major trend reversal. Technical analysts have identified a promising harmonic pattern on the chart, hinting at an upcoming bullish move.
As the cryptocurrency market is going through a challenging period, with a significant drop of over 45% for Ethereum (ETH) in the first quarter of 2025, the official memecoin Trump (TRUMP) is no exception. However, an encouraging technical signal could indicate a trend reversal for this controversial crypto.
Over the past few weeks, TRUMP has managed to return to positive weekly gains, reducing its 90-day slide to around 79%. Interestingly, a harmonic pattern forming on the daily chart could herald a strong rebound ahead.
On the daily chart of TRUMP, a potential formation of a bearish Gartley structure can be observed. Although this type of pattern typically signals a trend reversal once completed, it also allows for a significant bullish movement before reaching this crucial point.
The sharp decline of TRUMP began around March 23, after its failure to stay above the resistance of $12.43 (marked as point X). Since then, it has lost nearly 42% of its value, hitting a low of $7.15 on April 7 (point A). Leg AB has only retraced by 30.9%, slightly less than the typical range of 38.2% to 61.8% Fibonacci levels – but the entire harmonic configuration remains strong and valid.
Following leg BC, the momentum has clearly reversed. TRUMP has bounced back from around $7.40 (point C) and is currently working on the CD leg of the pattern, with increasing movement strength.
If the pattern continues to unfold, TRUMP could surge towards the final target at point D, located around $11.30 – a move that would represent approximately 33% increase from the current price near $8.53.
If the bullish momentum continues, TRUMP could climb towards the $11.30 zone in the coming days. This zone not only completes the Gartley harmonic structure but also corresponds to a 78.6% retracement of X-C momentum – making it a major technical resistance to closely monitor.
However, caution is advised. In harmonic trading, once point D is reached, a reversal or heavy profit-taking is often expected.
Before reaching $11.30, TRUMP will also encounter a strong liquidity zone to pass at $10.
In conclusion, although TRUMP has experienced a significant decline in recent months, current technical signs suggest the possibility of a significant rebound ahead. However, as always in cryptocurrency trading, it is essential to remain cautious and always do your own research before making an investment decision.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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