- Alchemy Pay has formed a falling wedge pattern on the daily chart.
- This pattern is one of the most accurate reversal signs in the market.
Alchemy Pay price has been in a strong downward trend in the past few months as the momentum we saw earlier this year waned. The ACH token plunged to a low of $0.014 on Monday, ~73% below the highest level this year.
Bridging crypto and fiat
Alchemy Pay is an important company that aims to bridge the gap that exists between fiat currencies and cryptocurrencies. The platform provides on-ramp services that enable companies receive payments in digital currencies like Bitcoin and Ethereum.
Alchemy Pay recently introduced a Crypto Card service that enables companies to issue their own branded cards to customers. Users can top up their cards and easily connect them with services like Apple Pay and PayPal.
Therefore, the ACH token has dropped because of the recent sell-off in digital currencies. Bitcoin has already dropped from over $31,000 to less than $26,000. Similarly, Ethereum has moved from over $2,000 to $1,500. The total market cap of all cryptocurrencies has dropped to ~$1 trillion.
As a company that bridges crypto and fiat currencies, Alchemy Pay thrives in a period when cryptocurrencies are doing well. When they are rising, the implication is that more people move to these coins. Recent data shows that the number of crypto holders has been falling.
The ongoing fear in the crypto industry explains why ACH price reacted mildly to the decision for Alchemy Pay to deploy on Polygon zkEVM. Developers on Polygon’s new zkEVM can now use Alchemy Pay with minimal cost. In a note, Jack Melnick of Polygon Labs said:
"Alchemy Pay truly acts as a user-friendly gateway to the crypto spaces for users. The Polygon zkEVM ecosystem is very excited for this deployment."
Alchemy Pay price forecast
The daily chart shows that the ACH crypto price has been in a strong bearish trend in the past few months. It has dropped by more than 80% from the highest level this year. The token has dropped below the 50-day Volume Weighted Moving Average (VWMA).
Alchemy Pay has also formed a bottom at $0.0124 since August. It has also formed a falling wedge pattern. In technical analysis, this pattern is one of the most bullish patterns. Therefore, there is a likelihood that the token will have a bullish breakout as buyers target the key resistance point at $0.023 (June 25th high). This price is about 68% above the current level.
