The cryptocurrency market is showing moderate recovery following a sharp correction, with Ethereum and Algorand indicating positive signals.
Overall State of the Cryptocurrency Market
The cryptocurrency market is recovering after a sharp correction. Ethereum (ETH) has bounced back to around $3,700 from a recent low of $3,357. This improvement is boosting sentiment among altcoins, including Algorand (ALGO), which is once again showing positive dynamics.
Comparison of ALGO and MNT
On the charts, ALGO is forming a technical fractal that mirrors a successful bullish pattern previously completed by Mantle (MNT). Comparing the daily charts of MNT and ALGO reveals structural similarities: MNT recently broke out of a falling wedge and formed a Bearish ABCD harmonic pattern, after which its price surged by 40%.
Prospects for ALGO
If this emerging fractal continues to unfold, holding ALGO above the 100-day moving average could lead to reaching the Potential Reversal Zone (PRZ) near $0.3880, offering a potential 57% upside from current levels. To maintain this bullish scenario, ALGO must hold support above the $0.2239 level, as a break below could invalidate the pattern.
The cryptocurrency market continues to show signs of recovery, and the observed behavior of ALGO may provide grounds for optimism among investors.
