A Quick Technical Breakdown of STEEM's Mercurial Rise

My fellow Steemians: as you all have noticed, STEEM has surged dramatically in recent trades, breaking through the psychological one-dollar barrier. Indeed, it has driven past this level so convincingly and I would argue dramatically that I believe STEEM is off the "99 cent store" menu for good.

Perhaps STEEM will fall below a buck during shock periods of volatility. But as I have mentioned in prior posts and videos, we may have crossed over into a new plane of reality for the cryptocurrencies. Certainly, with STEEM, it is no longer just a speculative play. New Steemians are joining at a clip rate, and securing that one dollar price is a critical milestone.

The jump to a "Washington" isn't just significant based on the law of small numbers. Qualitatively, the dollar mark has a psychological significance. Any investment below $1 is rightfully considered a penny stock, as its increments are measured in pennies. However, as soon as you cross the dollar threshold, investors tend to think in terms of dollars, not pennies. This collective perception shift can have a deep impact on the forward valuation of an asset.

STEEM's Technical Breakdown

In just the past three days, STEEM has broken out of its bullish trend channel that was formed between May 12 and May 17. Presently, STEEM is trending around the $1.20 range. Essentially, STEEM jumped nearly 54% against the average price of the trend channel. Obviously, that's an incredible rally that requires some consolidation.

As I write this, I believe that we're in the middle of the consolidation. I have seen STEEM dip to $1.17 and soar as high as $1.30. Coincidentally, STEEM has hit a rising ceiling of resistance that was formed on May 8, when the cryptocurrency averaged a daily range of approximately $1.09. STEEM bulls are "testing" the strength of the ceiling; hence, we're seeing a choppy price action.

All told, STEEM is in the early stages of forming a classic flagpole formation. This is characterized by an initial spike rally, followed by a horizontal-ish consolidation pattern, which ultimately leads to a blow-off swing to the upside.

The Time to Load Up is NOW!

If this early assessment is correct, my friends, you will have just a few days at most to start buying STEEM at present rates before the price skyrockets to new plateaus. That's exciting to many, surely, but it admittedly adds a bit of pressure to those who are still in the acquisition game.

And to answer Steemians from prior posts -- yes, this is where we start to see the potential of $2 STEEM. If I were to share my gut feeling, I believe that $2 is right around the corner, perhaps even inside a week's time.

Of course, that's just speculation, but so far -- in consideration of the enormous bullishness in Bitcoin, Ethereum, and other cryptos -- I'd say this is a fairly high probability event!

STEEM On!