ZIL Price Analysis: Token declines after hitting 200 EMA, what’s next?

The token has shown bearish actions in the previous sessions.
The pair of ZILL/USDT is trading at the price level of $0.0273 with a decrease of -7.46% in the past 24 hours.

After being rejected by the 200 EMA, the Zilliqa token has created a strong bearish candle on the daily time frame. The Zilliqa blockchain’s native token, ZIL, can be utilized to execute smart contracts, be rewarded for mining or staking, be used as a medium of exchange to pay for transaction fees, and so on.

ZIL token on the daily chart

Strong bullish momentum led the token to break above the resistance level, but the bulls were unable to keep up the momentum to break above the 200 EMA. On the daily chart, we can see that the ZIL token is now down -7.46%, trading at $0.0273. The token is trading between its 50 EMA and 200 EMA key Moving Averages. (The blue line is 200 EMA, the red line is 50 EMA.) The token is expected to find support at $0.0242 or at the 50 EMA.

Relative Strength Index: The asset’s RSI curve is currently at 57.25, and the value is dropping as the token forms a strong bearish candle on the daily time frame. The fall in the token price has led the RSI curve to cross below the 14 SMA. If the token can bounce off the support level of $0.0242, the value of the RSI curve will rise yet again.

Analyst view & Expectations

The token showed bullish strength, but the indicator did not support the bullish trend, and we can see that the token has been rejected by the 200 EMA and dropping in value. Investors should avoid buying until there is a clear indication. Intraday traders, on the other hand, have a good opportunity to go short if the token begins to form a bearish candle on the daily chart and book profits based on their risk to reward ratio.

According to our current Zilliqa price prediction, the value of Zilliqa is expected to climb by 7.57% in the next few days, reaching $ 0.029479. Our technical indicators indicate that the current sentiment is bearish, with the Fear & Greed Index reading 61. (Greed). Over the previous 30 days, Zilliqa had 22/30 (73%) green days and 20.07% price volatility. According to our Zilliqa prediction, now is not a good time to buy Zilliqa.

Technical Levels

Major support: $0.0242

Major resistance: $0.0295 & 200 EMA on the daily time frame.

Conclusion

After being rejected by the 200 EMA, the token is moving toward the $0.0242 support level, where it is expected to bounce and continue the bullish momentum. Before investing, investors should wait for a clear indication.

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