ZEC Price Analysis: Token faces rejection after breaking out of consolidation zone

The token is trading above the 50 EMA on the daily time frame.
The pair of ZEC/USDT is trading at the price level of $47.05 with a decrease of -0.60% in the past 24 hours.

The ZEC token had been consolidating for a while, but as the volume picked up, it broke out of the zone of consolidation. However, the token’s troubles are not yet over because the resistance level of $49.63 still stands in its way.

ZEC on the daily chart

The token was able to break out of the consolidation zone with high volume after receiving support from the 50 EMA. On the daily chart, we can see that ZEC token is now down -0.60% over the last 24 hours, trading at $47.05. The token is now trading between its key Moving Averages, which are the 50 EMA and 200 EMA, after crossing and sustaining above the 50 EMA on the daily time frame. (The blue line is 200 EMA and the red line is 50 EMA.) After breaking out from the consolidation zone, the token is now facing resistance.

Relative Strength Index: The asset’s RSI curve is currently trading at 59.63, and the value of the RSI curve is falling as the token faces rejection from the resistance level. The RSI curve has crossed below the 14 SMA, indicating bearishness. If the token fails to sustain its breakout and continues to decline, the value of the RSI curve will decrease even further.

Analyst view & Expectations

Following the successful breakout of the consolidation, the token is trading at a crucial level and is facing resistance from the $49.63 level. Investors are advised not to buy now and instead to wait for the token to break and sustain above the resistance level before buying to gain more confirmation on the trend’s direction. Intraday traders, on the other hand, have a good opportunity to go short and book profits based on their risk to reward ratio.

According to our current Zcash (ZEC) price prediction, the value of Zcash (ZEC) will fall by -4.34% and hit $ 45.04 in the coming days. Our technical indicators indicate that the current sentiment is bearish, with the Fear & Greed Index reading 50. (Neutral). Over the previous 30 days, Zcash had 19/30 (63%) green days and 7.58% price volatility. According to our Zcash forecast, now is not the time to buy Zcash.

Technical Levels

Major support: $42.60

Major resistance: $49.63

Conclusion

The mighty bears and bulls are fighting hard, and investors are recommended to wait for a clear indication before acting. It remains to be seen if the token will be able to break through the resistance level or form a strong bearish candle and start its downward trajectory.

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 the 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