Amidst the FTX meltdown and the risks of leaving cryptocurrencies on exchange, Changpeng “CZ” Zhao, CEO of Binance, offered a valuable tip on self-custody. But the message from the Chinese billionaire made the Trust Wallet Token (TWT) skyrocket 135% in just one week. According to CoinGecko, TWT was worth around BRL 6.00 on November 7, but reached BRL 14 this Monday (14). The price of TWT lost strength throughout the day, but it still operates above R$ 12 – 100% appreciation. TWT is the native token of Trust Wallet, one of the best-known online cryptocurrency wallets on the market. Check now what happened to the price of the token and whether this appreciation is sustainable or not.
TWT appreciation in one week. Source: CoinGecko.
CZ warns about cryptocurrency security
Last Sunday, CZ disclosed a blog post on Binance that featured tips on how to safely store cryptocurrencies. The article is from 2020, but the CEO of Binance reposted the text because of recent events involving FTX. The article shows how a user can keep his cryptocurrencies safe by himself without relying on a third party. In his explanation, CZ used Trust Wallet as a reference. “We are not just a centralized exchange (CEX). We offer choices. Do you hold cryptocurrencies on your own? Read this article I wrote 2 years ago. The 15 minutes of reading will save you money and headaches later on. TrustWallet. Read the same article if you use a CEX too,” said CZ. CZ rightly highlighted the importance of the Trust Wallet token, a token that offers benefits and discounts to wallet users. As a result, the market went into buying TWT, which soared 135% in a few days. However, is it advisable to buy this token after such a sudden price appreciation? To know this, analysts bring the movement of TWT and what awaits the token in the future.
graphic patterns
The TWT token has been in a symmetrical triangle pattern for over a year. This continuation pattern is often spotted in an established market and often provides buying opportunities. In theory, the possible target of this pattern is the distance between the high and low of the oldest price spread within the pattern triggered from the breakout price point. That is, the tapered triangle pattern depicted in the chart below. Thus, during the end of the October bull rally, the price of TWT took a bullish breakout of the pattern’s resistance trend line.
TWT analysis. Source: TradingView. The post-retest rally caused prices to rise, which was not only fast but also intense. In just five days, TWT broke the all-time high of $2.50. However, Binance CEO CZ’s recent tweet encouraging trust wallets also supported this great rally. “Self-custody is a fundamental human right,” completed the CEO According to the technical setup mentioned above, the price of TWT reached the target defined by the triangle pattern. However, this huge target achieved in a short period is not healthy for an asset, which means some correction is coming. Therefore, if TWT fails to break through the $2.50 barrier, prices are likely to go through a correction phase to stabilize the uptrend.
