- AltLayer broke out of a descending channel and flipped a horizontal resistance zone into support, signaling strong trend reversal momentum.
- The current support zone at $0.03130–$0.03210 aligns with both the 9-day EMA and 50-day SMA, forming a strong confluence level.
- Price consolidation above support with falling volume suggests accumulation, as bulls prepare to retest the $0.04–$0.05 resistance region soon.
AltLayer (ALT) is displaying resilience after a decisive breakout from a descending channel. The price is now consolidating above a vital support zone.
ALT Maintains Position Above Key Support Zone
AltLayer (ALT) recently experienced a breakout from a descending channel on the daily chart, suggesting a potential shift in trend. After this move, ALT also broke above a horizontal resistance zone, turning it into support. According to Alpha Crypto Signal , ALT is holding steady above this key support/resistance level.
The price spiked to nearly $0.065 before retracing to the current level of $0.02992. Although the drop represents a -9.27% loss for the last 24 hours, it’s still a -22.04% higher price in the last 7 days. The current consolidation is between a critical support zone at $0.03130 – $0.03210, where the 9-day EMA and 50-day SMA is located and it’s an important confluence area.
Consolidation May Indicate Bullish Continuation
Despite the pullback, the recent breakout remains technically valid as long as the price stays above this confluence area. ALT’s ability to hold this zone could determine the next directional move. If buyers maintain control, a retest of the $0.04–$0.05 range may occur.
However, volume has notably decreased since the breakout peak, suggesting a cooling of momentum. Market participants are now watching for renewed buying activity. A bounce from current levels, especially with increasing volume, would reinforce the bullish structure.
A failure to maintain this support could signal a return to bearish conditions. Should that happen, sellers may target the next support level near $0.025.
ALT Traders Monitor Price Reaction at Current Levels
ALT’s price action is being closely watched by traders for confirmation of the breakout’s strength. The consolidation above support may serve as a base for further gains, provided volume supports the move.
Alpha Crypto Signal stated in a tweet that, “As long as this level holds, momentum favors the bulls.” The tweet reflects the cautious optimism surrounding ALT’s current setup.
