• Zilliqa price tagged the $0.097 to $0.121 daily breaker, suggesting the start of a 20% descent.
  • Investors can expect the rejection to push ZIL down to $0.074 in a conservative outlook and $0.0508 in a dire case.
  • A daily candlestick close above $0.121 will invalidate the bearish thesis.

Zilliqa price showed a bullish impulse that pushed it massively over the last day. However, this move is likely to be cut off from the momentum as it approaches a hurdle that is likely to propel it in the opposite direction.

Interestingly, this development comes after Zilliqa’s plethora of partnerships in April- like joining the Blockchain Gaming Alliance (BGA), and getting ZIL listed on Binance, BitGet, and BitPanda. Additionally, Zilliqa is also working with Atomic Wallet to get ZRC-6 compatibility so users can see NFTs on their wallets.

Zilliqa price is in a tough spot

Zilliqa price set a bearish breaker between its 400% bull rally in late March and early April. This technical formation is obtained after a demand zone between two higher highs is flipped into a resistance barrier.

Such a development took place on April 26, when ZIL crashed 10%. This move produced a daily candlestick close below the $0.097 to $0.121 demand zone, flipping it into a bearish breaker. Since there are many underwater investors in this area, a retest is likely going to result in a massive crash from investors wanting to break even.

On April 5, Zilliqa price tagged this breaker and is currently getting rejected from it, hinting at a 20% crash to $0.0746. In a bearish case, this downtick in selling pressure could shove ZIL as low as $0.0508, constituting a 45% nosedive.

Since this bearish setup comes after a 38% ascent, many investors will be caught off-guard and are likely going to be trapped or liquidated. 

ZIL/USDT 1-day chart

ZIL/USDT 1-day chart

On the other hand, if the buying pressure increases, pushing Zilliqa price to produce a daily candlestick close above $0.121, it will invalidate the bearish breaker and hence the correction thesis.

In such a case, ZIL could climb 10% to retest the immediate hurdle at $0.133.

 


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


Recommended Content

Editors’ Picks

Crypto Today: Bitcoin, Ethereum, XRP gain slightly on Monday, traders prepare for US macro release this week

Crypto Today: Bitcoin, Ethereum, XRP gain slightly on Monday, traders prepare for US macro release this week

Bitcoin hovers around the $63,000 level on Monday, almost flat in the day. Ethereum ranges around the psychologically important $2,500 level as creator Vitalik Buterin pledges 100 Ether to support Tornado Cash developer.

More Cryptocurrencies News
Is “Uptober” here for Bitcoin?

Is “Uptober” here for Bitcoin?

Bitcoin stabilizes at around $63,000 on Monday. US spot Bitcoin ETF experienced outflows week-on-week. NYDIG report highlights that Bitcoin remains the best-performing asset this year, with a 49.2% year-to-date gain. 

More Bitcoin News
Why Bitget’s exchange token slumped 50% on Monday, what to expect from BGB

Why Bitget’s exchange token slumped 50% on Monday, what to expect from BGB

Bitget’s exchange platform token BGB suddenly erased 50% of its value on Monday, slipped to a low of $0.5344. The reason behind the slump is currently unknown; the OKX exchange token was in a similar situation in January 2024. 

More Cryptocurrencies News
Is Dogecoin ready for a rally?

Is Dogecoin ready for a rally?

Dogecoin price finds support around the descending trendline breakout level, eyeing a rally ahead. DOGE’s daily active addresses spiked to the highest level since early April.

More Dogecoin News
Bitcoin: Is BTC sell-off over?

Bitcoin: Is BTC sell-off over?

Bitcoin price declined over 6% this week until Friday as the escalation of the conflict between Iran and Israel added fuel to this sell-off. The decline was also supported by falling institutional demand for ETFs. BTC bulls seem to be holding strong at a critical support level.

Read full analysis
Five best Forex brokers in 2024

Five best Forex brokers in 2024

VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals. 

Read More

BTC

ETH

XRP