Tezos (XTZ) maintains a bullish rally after double-digit gains in 24 hours

The price of Tezos (XTZ/USD) has made a strong recovery over the past two weeks. During this time, the token has gained by around 28%. The gains have coincided with the recovery witnessed across the entire crypto space during the same period.

Tezos was trading at weekly highs of $4.06 at the time of writing, according to CoinGecko. During the past 24 hours, the token has gained by around 10.3%.

Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

Tezos rallies to weekly highs

During the past 24 hours, XTZ has managed to gain from around $3.68 to $4.06. When these gains were made, the market support was relatively high, and so was the buyer support.

If XTZ can continue making this uptrend, the immediate resistance level lies at $4.13. If it breaks through, higher levels of $4.22 could also be created. However, this uptrend will be maintained if the buyer and market support remain strong.

Going by the performance of Tezos during the past months, it has mainly mimicked the trend of the broader cryptocurrency market, and it could do this once again. Therefore, if the market continues with the uptrend, Tezos could eye a recovery towards $4.52. It was last trading at such levels in early February.

Lack of support could create downward pressure

The market has been increasingly volatile recently, and XTZ could fail to maintain the bullish sentiment created during the past two weeks because of this volatility. If the broader market registers a notable dip, XTZ will mimic this as short-term traders rush to sell.

Dropping will push XTZ towards the support levels of $3.94. Intense selling pressure could further lead to a plunge towards $3.78. The price could consolidate at these levels if short-term traders halt selling to determine if the prices will gain or lose.

The Tezos blockchain has not seen any notable adoption since early this year after signing a strategic deal with Manchester United. The hype resulting from this partnership has since died down. Therefore, for Tezos to break free from performing according to the trend in the broader market, it needs to make a strategic deal again.