SWELL/USDT – Key Demand Zone: Relief Rally or Breakdown?

Full Analysis

SWELL is currently at a critical juncture. After a prolonged downtrend since early 2025, the price has shifted into a range-bound structure, with a strong demand zone around 0.0060 – 0.0088 (highlighted in yellow).

This zone has been tested multiple times over the past few months, suggesting that buyers—potentially whales or institutions—are defending it. However, the more a support level is tested, the weaker it often becomes, raising the stakes for what comes next.


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Structure & Price Pattern

Primary trend: bearish since the start of the year, but the momentum of the decline has slowed since Q2 → forming a range market.

Current pattern: multi-touch support combined with lower highs on the upside → signaling a phase of accumulation or distribution.

Key levels:

Support zone: 0.0060 – 0.0088.

Resistance layers: 0.0104 → 0.0116 → 0.0149 → 0.0187.


If the support zone holds, the probability of a relief rally is high. If it breaks, we could see a new capitulation phase.

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Bullish Scenario

1. Bounce from demand zone

Confirmation: a strong daily rejection candle (hammer / bullish engulfing) with rising volume.

Short-term target: 0.0104 – 0.0116.

Extended targets: 0.0149 – 0.0187 if a breakout gains traction.

Upside potential: +30% to +100% from current levels.



2. Structural breakout

If price closes above 0.0116 on the daily chart, structure shifts into a higher-high formation.

This would significantly increase the probability of a larger bullish leg.

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Bearish Scenario

1. Support breakdown

If the daily close falls below 0.0060, the demand zone will have failed.

This could trigger another strong sell-off and force the price to search for lower support levels.

Downside potential: at least -30% from current price, possibly more under heavy selling pressure.

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Implications for Traders

Aggressive traders may consider entering within the demand zone with a tight stop-loss just below 0.0059. High risk, but potentially high reward if the bounce materializes.

Conservative traders should wait for a confirmed breakout above 0.0116, then enter on the retest. This approach provides a clearer bullish structure and better confirmation.

Risk management is critical here—SWELL is a small-cap altcoin with high volatility.

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Conclusion

SWELL/USDT is standing at a major decision point. The 0.0060–0.0088 demand zone is the battlefield where the next trend direction will be decided—whether we see a relief rally toward higher resistances or a bearish breakdown into uncharted territory.

For traders, this is the time to stay patient and wait for confirmation: watch daily candle closes, volume spikes, and market reactions around this zone before making a move.

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