Tezos technical analysis: Bears continue to guard $ 1.70/71 area
- Tezos keeps upside bias intact despite brief bullish exhaustion.
- The altcoin outperforms across the top ten dominant digital assets.
The world’s tenth favorite cryptocurrency, Tezos (XTZ/USD), is in the red zone for the third straight session on Sunday, although the selling momentum has weakened over the last hours following a turnaround in the sentiment across the crypto board. The price trades above the 1.6550 level, having posted daily highs at 1.6796 last hour. Amid the latest bounce, the coin is set to book a 12% weekly gain but loses -2.50% over the last 24 hours, with the market capitalization seen at $ 1.10 billion.
XTZ/USD 1-hour chart
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- Tezos trades in a potential falling wedge formation (bullish reversal pattern).
- The coin needs a break above the falling trendline (pattern) resistance at 1.6920 to confirm a breakout, with the next resistance seen at 1.7099 (bearish 50-HMA).
- Hourly RSI has turned flat at midline while upward sloping 100-HMA at 1.6589 cushions the immediate downside.
- The confluence of falling trendline (pattern) support and bullish 200-HMA around 1.5940-1.5845 is the level to beat for the bears.
XTZ/USD daily chart
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- Having formed a long-legged doji on Friday, the bulls have turned indecisive, leaving the price in a consolidative mode.
- The coin holds above the 23.6% Fib level of the Oct 24 to Dec 13 relentless rise.
- The daily RSI hovers just under the overbought territory, suggesting further scope for upside.
- Seven-month highs of 1.8401 could be retested in the coming week.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
