TeraWulf: Early Stage of a Multi-Year Bull CycleSummary
TeraWulf (WULF) is emerging from one of the most powerful bullish technical formations in long-term investing: a multi-year cup-and-handle base that has been forming since 2022. The breakout above key resistance signals a structural reversal from accumulation into expansion, suggesting the early stages of a new multi-year growth phase in the company’s life cycle.
1. Structural Pattern: Cup & Handle Base
Rim (breakout level): ~$9.30
Cup bottom: ~$0.535
Depth: ~$8.77
Long-term measured move: ~$18.00
In classical technical theory, the full depth of a multi-year base is added to the breakout level. This projects an initial structural target near $18, which marks the first stage of what could become a much larger price expansion over time.
2. Trend and Momentum Shift
Price is trading well above long-term moving averages, indicating a confirmed change in trend.
RSI remains strong and sustained above 70 — a hallmark of new secular bull phases rather than late-stage exhaustion.
Breakout volume is materially higher, reflecting renewed institutional participation and long-term capital rotation into the stock.
3. Key Price Milestones for Long-Term Investors
Structural targe ~$18 : Classical measured move from the base formation
Major resistance band ~$28–$32 : Significant historical supply zone and potential revaluation checkpoint
Full retrace / prior peak ~$43–$45 : Previous cycle high and likely long-term valuation anchor
Above ~$45 , WULF would enter price discovery with no historical resistance. At that stage, valuation would be determined more by fundamentals, sector dynamics, and broader adoption of digital infrastructure than by technical memory.
4. Investor Considerations
A sustained price above ~$9.30 confirms the transition from accumulation to expansion. A long-term investor’s thesis would generally remain intact as long as the stock trades above ~$8.20, the top of the handle structure.
Multi-year base breakouts of this magnitude often lead to multi-fold price appreciation over a full market cycle, but they also require patience and tolerance for volatility.
5. Long-Term Thesis
This breakout is less about a short-term trade and more about a structural inflection point. WULF has spent over two years building a deep base and absorbing selling pressure. With that process now largely complete, the stock has the technical foundation for a multi-year uptrend. Long-term investors positioning here are effectively participating at the start of a new growth phase rather than chasing the tail end of a rally.
