|

Tezos Price Prediction: XTZ develops reversal pattern, targeting $2

  • Tezos price is bounded inside a descending parallel channel on the 4-hour chart.
  • The digital asset got rejected from a critical resistance level and might be poised for a pullback.

Tezos had a notable 10% rally in the past 48 hours, following Bitcoin’s price action, which has established a new all-time high. Unfortunately, Tezos price got rejected from a crucial resistance trendline and could be poised for a deeper pullback.

Tezos price turns bearish after significant rejection

On the 4-hour chart, Tezos price has established a descending parallel channel and got rejected from the upper trendline on December 17. Bears seem to be getting enough continuation after the rejection, which indicates it is healthy.

XTZ/USD 4-hour chart

So far, the 100-SMA has acted as a support level, and a breakdown below this point can quickly drive Tezos price towards the middle trendline of the channel at $2.2 and as low as the lower trendline at $2. 

On the other hand, if bulls can defend the 100-SMA level at $2.25, Tezos price is most likely going to climb back towards the upper boundary of the descending parallel channel at $2.4. 

Author

Lorenzo Stroe

Lorenzo Stroe

Independent Analyst

Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.

More from Lorenzo Stroe
Share:

Editor's Picks

Bitcoin Weekly Forecast: BTC retreats as macro headwinds grow
Bitcoin (BTC) remains under pressure, down over 4% this week and trading around $76,900 at the time of writing on Friday. Institutional demand shows signs of weakness as spot BTC Exchange Traded Funds (ETFs) are on track to end their three-week inflow streak, recording nearly $500 million in net outflows through Thursday.
XRP falls toward key support as macro uncertainty, weak momentum cap recovery
Ripple (XRP) falls below $1.33 on Friday, marking the third consecutive day of declines. The token continues to track the broader cryptocurrency market downturn, with investors closely monitoring heightened macroeconomic uncertainty ahead of the United States (US) Consumer Price Index (CPI) release and next week’s Federal Reserve (Fed) monetary policy decision.
Crypto Today: Bitcoin, Ethereum, XRP stabilize at lower levels amid ETF outflows and macroeconomic risks
The broader cryptocurrency market is rising on Friday, with Bitcoin (BTC) trading above $77,000 after testing lower support near $76,500. Ethereum (ETH) shows signs of stability, hovering above the support provided at $2,400 despite capped upside at $2,500. Meanwhile, Ripple (XRP) holds above $1.33 after three straight days of declines, reflecting growing headwinds due to macroeconomic uncertainty.
Bitcoin pulls back as another golden cross fails to deliver
Earlier this week, Bitcoin formed a golden cross, a technical signal that occurs when the price’s 50-day moving average rises above the 200-day moving average and is conventionally viewed as a precursor to a bullish rally. Historically, however, that’s often not been the case.
Bitcoin: Gearing up for a sharp move
Bitcoin (BTC) is trading around $81,000 on Friday, up over 4% so far this week, and awaits a key catalyst that could determine its next directional move. Strong institutional demand is supporting the bullish price action, with spot BTC Exchange Traded Funds (ETFs) on track to record a third straight week of inflows.