LQTY/USDT — Falling Wedge, Key Reversal Opportunity?On the daily timeframe (1D), the LQTY/USDT pair is showing an interesting setup. The price is currently trading around 0.862 USDT, approaching the upper boundary of a falling wedge pattern that has been developing since late July.
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🔎 Main Pattern: Falling Wedge
A falling wedge forms when the market prints lower highs and lower lows within a narrowing range.
This formation is typically considered a bullish reversal pattern, often leading to an upside breakout if supported by strong volume.
The wedge is tightening, signaling that the market is entering a decision phase.
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📈 Bullish Scenario
1. Breakout confirmation: requires a daily close above the wedge resistance (~0.95–1.00 USDT) with rising volume.
2. Upside targets:
Initial target: 1.07 USDT (nearest resistance).
Next targets: 1.37 USDT and 1.61 USDT.
If momentum extends, a larger target lies around 2.13 USDT.
3. Entry strategy:
Aggressive traders may enter on the breakout.
Conservative traders may wait for a retest of the breakout line before entering.
4. Risk management: place stop-loss below wedge support (~0.75–0.70) or recent swing low.
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📉 Bearish Scenario
1. Failure at resistance: rejection at the wedge upper trendline would keep the downtrend intact.
2. Breakdown confirmation: a daily close below wedge support (~0.70–0.62).
3. Downside targets:
Immediate supports: 0.70 → 0.62 USDT.
Bearish extension: 0.431 USDT (previous major low).
4. Note: false breakdowns can occur on low volume, so strict stop-loss discipline is crucial.
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⚖️ Conclusion
LQTY is now at a critical decision point.
A confirmed breakout could trigger a reversal with upside potential toward 1.07 → 1.37 → 1.61 USDT, and possibly 2.13 USDT in the long run.
Failure to break higher or a confirmed breakdown below the wedge would likely extend the bearish trend toward 0.62–0.43 USDT.
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📌 Trading Notes
Wait for confirmation before entering — volume and daily close matter.
Manage risk properly; altcoins like LQTY are highly volatile.
This is technical analysis, not financial advice. Trade at your own risk.
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