- Tezos kick-started the bullish momentum after embracing crucial support between $1.98 and $2.
- The breakout to $2.34 depends on the bulls’ ability to hold above the descending triangle and the 50 SMA.
Tezos is back to trading in the green after bouncing off support in the range between $1.98 and $2. A break above the descending triangle on the 4-hour chart brings into the picture the possibility of formidable gains to $2.34.
Tezos technical pattern turns significantly bullish
At the time of writing, XTZ exchanging hands at $2.1, following a remarkable rebound from the crucial support at $1.98. The price action beyond the hypotenuse of the triangle adds weight to the bullish narrative. Buyers must hold the price above this vital pattern to sustain the expected spike.
 (17)-637411921033226601.png)
XTZ/USD 4-hour chart
The same 4-hour chart shows Tezos trading above the 50 Simple Moving Average. If the cryptoasset holds this fundamental level, the bullish case to $2.34 would be validated. The Relative Strength Index has crossed above the midline and is on the way to the oversold, bringing to light the intensifying bullish grip.
 (18)-637411921396261407.png)
XTZ/USD 4-hour chart
On the flip side, XTZ/USD is well protected, with the 200 SMA and the 100 SMA standing in line to cushion buyers from acute losses.
 (19)-637411921792732064.png)
XTZ/USD 1-hour chart
Short term analysis shows that XTZ has encountered a supply barrier at $2.12. Sellers appear to be gaining traction but lack the volume to push the price lower significantly. The bullish narrative will be saved if Tezos holds the 200 SMA.
On the other hand, trading below the 200 SMA might trigger more sell orders, in turn, support a bearish pattern eyeing the demand area between $1.98 and $2. The 100 SMA and the 50 SMA will absorb some of the selling pressure while controlling the drop.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
TRON gains 10% in 2024, supply of stablecoins reaches over $50 billion in Q1
TRON, a blockchain-based digital platform, has seen positive growth in the first quarter of 2024, as seen in a Messari report. TRON noted gains across several metrics like market capitalization, revenue and total value locked.
XRP hovers near $0.50 as Ripple CTO addresses concerns related to stablecoin launch
XRP is hovering near $0.53 on Friday, spending nearly all week below $0.55. Ripple CTO David Schwartz addressed concerns on stablecoin and XRP utility on Thursday.
Terraform Labs set to restrict access for users in the US after recent ruling in SEC lawsuit
Blockchain company Terraform Labs said Thursday that it will restrict access to some of its products and services for US-based users as it expects to receive a court order soon in light of its legal battle against the US Securities and Exchange Commission (SEC).
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Bitcoin: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.