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ZRX Price Prediction: 0x squeeze targets an additional 30% gain

  • ZRX price advance driven by a significant spike in volume.
  • 0x is at the top of today’s leaderboard with a 13% gain.
  • The Relative Strength Index (RSI) confirms the price momentum over the last three days.

ZRX price has had some wild swings since February, and now it is beginning one to the upside.

0x is up 30% after a squeeze formation triggered on March 16, and the probability of advancing further is high.

ZRX price surge leaves the bearish thesis in the dust

Roadmaps for future price movements are better found on higher time frames by mixing indicators and volume. Some of those indicators combined with today’s stellar volume project a continuation of the 0x’s bull rally.

Despite the 47% downswing in February, the 50-day simple moving average (SMA) remained in an uptrend and provided support in mid-March just before the upward advance began. 

Adding to the bullish 0x narrative was a sizable contraction in daily volume, indicating that the heavy selling was done in February.

It is frequently stated that price contraction leads to price expansion. In the case of ZRX price, it moved sideways in a tight range for 11 days, thereby pushing the Bollinger Bands into the Keltner Bands and forming the squeeze formation. 

The breakout above the two bands today confirms a spike in volatility, which has generated a 30% gain in the past three days.

Today’s high came within $0.040 of the .618 Fibonacci retracement level at $1.780, but the notable resistance is at higher levels for ZRX price, including $1.89 and then the yearly high at $2.180. 

Due to the force of the squeeze, it is fair to anticipate a test of $2.180 in the coming days, which would represent a 30% gain from the current price levels.

ZRX/USD daily chart

ZRX/USD daily chart

If the bears take control, ZRX price will first discover support at the convergence of the lower Bollinger and Keltner bands around $1.230. A failure to hold this hurdle will lead to a test of the February low at $1.357.

Author

Sheldon McIntyre, CMT

Sheldon McIntyre, CMT

Independent Analyst

Sheldon has 24 years of investment experience holding various positions in companies based in the United States and Chile. His core competencies include BRIC and G-10 equity markets, swing and position trading and technical analysis.

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