Starknet Faces a Pivotal Moment: Will the Rally Continue or Will the Downtrend Resume?

Starknet (STRK) has captured the attention of investors after its price climbed above a significant descending wedge formation, fueling discussions about a possible bullish turnaround. The token, which had been trading within the $0.10 to $0.17 range for several months, recently surpassed a resistance trend line that had held for 623 days. Analysts interpret this breakout as a potential indicator of a new upward phase. Technical signals, such as bullish divergences in both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), have added to traders’ growing confidence

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This breakout has placed

at a crucial crossroads. Should the current momentum persist, the token may challenge the next resistance at $0.350—a previous support area that now serves as a psychological hurdle. This level is particularly significant: breaking through could confirm a reversal from the extended downtrend, while failure to do so might lead to renewed selling pressure and drive the price into deeper correction territory .

Experts have noted similarities to a typical five-wave decline that STRK completed since February 2024. Recent price developments point to either an A-B-C corrective move or the start of a fresh five-wave advance. In both cases, the $0.350 mark remains a key objective. Short-term traders are also watching the behavior of the fourth wave, with some projections suggesting a possible fifth-wave surge to the same resistance if STRK maintains crucial support levels

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With STRK currently trading near $0.138, some analysts are targeting a short-term rise to $0.205, representing a 50% increase. Achieving this depends on the token staying above its 200-day exponential moving average (EMA) and maintaining strong trading volumes that signal active buying

. Others believe that the presence of a descending wedge—a pattern often associated with bullish reversals—supports the case for a 60-70% upside in the weeks ahead, provided that buying momentum continues .

However, caution is still warranted. The price structure remains delicate, and several analysts stress the importance of waiting for confirmation before entering long trades. For example, a drop below $0.11 could restart the downward trend toward $0.065, highlighting why traders should employ strict stop-loss measures

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