Date: Tue, Oct 28, 2025 | 06:36 PM GMT
The cryptocurrency market continues to show steady momentum today despite both Bitcoin (BTC) and Ethereum (ETH) trading in the red. Interestingly, a few altcoins are holding their ground and even flashing bullish signals — one of them being Plasma (XPL).
After a sharp crash over the past 30 days, XPL is finally showing signs of rebound. The token is up more than 5% today, and more importantly, its latest technical structure is hinting at a potential bullish continuation driven by a harmonic pattern formation.
Harmonic Pattern Hints at Potential Upside
On the 4-hour chart, XPL has formed a Bearish Butterfly harmonic pattern — a setup that, despite its name, often witnesses a strong bullish move during the CD leg before price reaches the Potential Reversal Zone (PRZ).
The structure began from Point X near $0.4345, followed by a steep decline to Point A, then a rebound to Point B, and a pullback to Point C near $0.3454. This corrective wave completed the setup’s foundation, and since then, XPL has shown a steady upward move, currently trading around $0.3751.
Price is now approaching the 50-hour moving average ($0.3779) — an important short-term resistance — while the 100-hour MA sits near $0.4087. A confirmed breakout above this dual moving average zone would likely validate the ongoing CD leg, signaling a possible extension toward the PRZ.
What’s Next for XPL?
If bulls manage to reclaim and sustain above these MA levels, the harmonic pattern projects an upside target zone between $0.4611 (1.272 Fibonacci extension) and $0.4950 (1.618 extension) — the PRZ region where this harmonic formation typically completes. Such a move would represent a potential 27% upside from current prices.
However, if XPL fails to hold above its 50-hour MA support, momentum could temporarily fade, leading to a short-term consolidation before any renewed attempt higher.
The critical defensive zone remains near Point C ($0.3454). Losing this level would invalidate the pattern, opening the possibility of a short-lived correction before any rebound attempt.
Disclaimer: The views and analysis presented in this article are for informational purposes only and reflect the author’s perspective, not financial advice. Technical patterns and indicators discussed are subject to market volatility and may or may not yield the anticipated results. Investors are advised to exercise caution, conduct independent research, and make decisions aligned with their individual risk tolerance.