Bitcoin
Bitcoin$34 273.94

2.13%

Ethereum
Ethereum$2 189.22

3.03%

Tether
Tether$1.00

0.04%

Binance Coin
Binance Coin$302.07

0.93%

Cardano
Cardano$1.23

2.25%

XRP
XRP$0.609827

0.10%

Zilliqa (ZIL): The Correction Is About to Gain Momentum


#Zilliqa

Over the past three months, Zilliqa (ZIL) has inarguably been one of the most exciting altcoins to analyze and trade. The market collapse on Black Thursday sent the price of ZIL to the all-time low at $0.0024, which must have left only the most devoted and risk-tolerant traders in this market. However, those who armed themselves with patience were generously rewarded since the price of ZIL had literally skyrocketed in a span of some four weeks, having gone up by the enormous 737% at the top of the upper wick, and 535% at the close of the last green candlestick.

But that appears to have been the end of the fairytale for Zilliqa, which, by the way, was one of the hottest topics among traders recently, as it was brutally rejected by the bears at $0.03.

6-month ZIL price action chart

The chart above clearly shows that the uptrend has snapped at the indicated price level and dived head-first into the waters of correction. On the macro level, though, Zilliqa appears to have shown signs of life after nearly a year-long hibernation period.

ZIL historical price chart

However, it is way too soon to begin analyzing ZIL in the bullish context because even such a spectacular rocket launch on the part of buyers didn’t have a strong enough impulse to go past a crucial resistance at $0.003, which is basically the borderline between the bearish and bullish territories. Should the buyers be unable to hold their ground and not allow the price to fall below $0.015, we expect ZIL to crash by another 30% to 40% and end up at $0.001. 

The bulls grapple with the bears above $0.015


The weekly chart below shows that ZIL was unable to establish a new higher high above $0.0025, which was last reached at the second upswing of the double top formation that preceded the last price dump and the subsequent consolidation at $0.05.

1-week ZIL/USDT chart

Instead, the price made what appears to be a lower high that is going to be confirmed unless the bulls manage to recover swiftly and launch a move above $0.025. But the probability of that is diminishing as most indicators have started switching to the bearish side.

All in all, the amazing bullish rally on the part of ZIL has run its course, and now everything points to the continuation of correction that could find the bottom at $0.01.

Author: Alex Paulson for Crypto-Rating.com

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2021 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.