The Graph explodes 10%, bulls eye breakout

The Graph (GRT) price rose sharply and traded as one of the top coins in early trading on Wednesday.

In the past few months, between early August and November, the native token of the indexing protocol had struggled for upside momentum.

However, price bounced off support around the $0.13 mark on multiple occasions.

This means a breakout from below the descending triangle resistance line looks to have invalidated the bearish outlook.

Cryptocurrencies surge as Bitcoin eyes $100k

Overall, gains for The Graph have come as the bullish crypto market rode overall sentiment around US elections and rising institutional demand.

A breakout to highs above $90k for Bitcoin (BTC) has investors eyeing $100,000.

This comes as Bitcoin ETF options buoy traders, shining optimism across altcoins.

The Graph, a key blockchain protocol for querying data and for powering decentralized applications across decentralized finance and web3, is also primed for a bullish flip.

Mirroring other AI related tokens like RENDER has seen GRT rally to above $0.25.

This follows a falling wedge breakout past resistance level at $0.20.

Altcoins being on the cusp of a bull season is helping sentiment and could see The Graph push to levels last seen in May and then the year-to-date peak above $0.45.

GRT price today

GRT at current price of $0.2295 represents a spike of 8.7% in the past 24 hours and 30% increase in the past week.

The intraday range for GRT is $0.21-$0.25.

A look at the daily chart indicates a potential bullish continuation after the clean breakout and retest.

The Relative Strength Index and Moving Average Convergence Divergence indictors show advantage lie with the buyers.

GRT/USD chart. Source: TradingView

GRT/USD has broken above resistance at $0.20 on the 4-hour chart and is trying to form a support base above $0.22.

The GRT/USD pair is also above the 100 simple moving average, suggesting there’s greater resolve from the buyers.

What next for The Graph price?

Open interest in The Graph futures contracts has also jumped more than 15% in the past 24 hours to over $57 million.

The metric is back to levels seen in February when the price of GRT went on to hit its YTD high.

If bulls keep the strong momentum witnessed in the past week, with notable retests and bounces, a new YTD high is likely coming.

The rising volume, which is up 99% to $291 million in the past 24 hours is also a good signal.

Sustaining the upside pressure amid a breakout for altcoins will be key to the target of $1 in coming months.

However, traders may want to take note of market conditions as the global geopolitical environment shapes up.

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