Tezos Price Analysis: XTZ below $1, Will Tezos bottom out ?

• TEZOS slipped below $1 forming a deep bearish candle and hits fresh 52 week low at $0.825
• RSI at 28 entered oversold whereas MACD generated negative crossover

TEZOS Prices had broken down its monthly low at $0.912 which triggered the downside momentum and forming lower lows bearish pattern. As per coinglass, XTZ/USDT 24 hour long build up stood at 17.19M (46.41%) and short stood at 19.83M (53.60%) indicates sellers’ dominance are more as compared to buyers. As of now, in current intraday session XTZ is trading positive with the gains of 1.67% and 24 hour volume to market cap ratio stood at 0.0353

What chart is revealing ?

On a higher time frame,TEZOS Price had been very stable and had been consolidating in the range between $1.203 to $2.033 but slowly and steadily it is creating lower low swings after facing resistance at falling trendline indicates trendline will act as a strong hurdle for bulls.

In November, due to an unfavorable environment in the crypto industry XTZ broke down its lower range and took support near the $1, but after a few weeks of consolidation, recently XTZ slipped below $1 with a deep bearish candle continuing its further downside. The 200 ema(green) sloping down is far away from the current price shows trend to remain weak on a positional basis. The 50 day ema(pink) at 1.070 sloping down will act as immediate hurdle for bulls, followed by next resistance will be trendline as well as breakdown level at $1.203

Will XTZ take support at $0.802 ?

On a lower time frame, TEZOS had consolidated in a tight range from the past couple of weeks, but recently it broke its lower range with higher downside momentum along with higher volume indicating sellers came into dominance at $1 levels and bulls have to struggle a lot to reclaim $1 again. The super trend indicator has generated a sell signal which confirms the short trend may remain weak and any upside rise will be used as a selling opportunity on higher levels.

MACD divergence with Relative Strength Index

MACD had been given mixed signal in past couple of months but unable to trade above zero line indicates lacks of strength in prices, as of now MACD again generated a fresh negative crossover and red histogram bars are getting deep indicates price may remain on bears grip for short term, whereas surprisingly, RSI at 28 which is inside oversold zone and reversing upside indicates prices may see some upside reversal in coming days but for traders it should be treated as temporary bounce, till XTZ prices does not confirms any trend reversal.

Summary

TEZOS Price has been trading with bearish sentiment and no signs of recovery or trend reversal is visible in charts. So, as of now, traders must wait for a little pullback rally which will provide an opportunity to create fresh short positions on higher levels. Till XTZ is trading below $1.203, aggressive traders must look to sell on rise for the target of 0.800 and below levels.

Technical levels

Resistance levels : $1.203 and $1.755

Support levels : $0.800 and $0.600

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing

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