Consolidation sets in but a breakout is likely
The bullish momentum of the Theta price has waned in recent trading sessions. The THETA token is trading at $ 7.9063, around 140% above the July low. This brought its total market capitalization to over $ 7.9 billion.
Growth of TVN
Most of the Theta price gains are attributed to the overall growth of the platform’s video platform. Recently, more and more developers have adopted the network to boost their video products.
Another reason the coin’s price has jumped is the exponential growth of the non-fungible token (NFT) market.
Analysts estimate that the industry jumped more than 2,100% in 2020 to more than $ 2 billion. This trend will intensify in the coming months. On Monday, Visa, the $ 500 billion financial services company, announced that it had acquired an NFT for $ 150,000. Other companies are likely to enter this industry.
NFTs are an important part of the THETA ecosystem. The developers own Theta Drop, an NFT marketplace that will allow people to buy and sell digital assets. This marketplace is currently in beta and will be fully launched in the coming months. Also recently, ONE Championship announced that it has partnered with Theta to launch its NFT Marketplace.
Still, we can’t rule out the current altcoin season. as the reason why the price of the coin has been in an uptrend. In addition, Theta has a strong brand which is well known to traders. In fact, the overall volume of the coin traded each day has risen to over $ 400,000.
Theta Price Prediction
On the daily chart we see that THETA has formed a double bottom pattern at $ 3.6905. This pattern’s neckline was at the resistance level at $ 10.63, which is slightly above the current level. At the same time, the coin has formed a small ascending channel which is shown in blue.
He also formed what looks like an inverted head and shoulders pattern. The MACD and the Relative Strength Index (RSI) are in an uptrend. Therefore, the coin will likely maintain the bullish trend as the bulls target the key resistance at $ 10.3. This view will be invalidated if the price returns to $ 6.50.