XTZ Technical Analysis: Golden Buying Opportunity Arises At $2 Breakout
Table of contents
Key Technical Points:
Past Performance of XTZ
As we mentioned in our previous analysis, the Tezos (XTZ) price took a bullish reversal to challenge the resistance trendline of the rising channel. The reversal rally accounts for a 10% jump over the last 48 hours and challenges the psychological mark of $2. Furthermore, the bearish failure to reach the support trend line or test the $1.66 horizontal level increases the possibility of a bullish breakout.
Source - Tradingview
XTZ Technical Analysis
The XTZ price shows 5.10% growth in the daily candle, but the long wick formation delays the bullish breakout. Hence traders hoping to ride a breakout rally must wait for a price action confirmation to avoid a bearish reversal. The 50 and 100-day SMA prepares a bullish crossover as the Tezos market price sustains above the 100-day SMA.
The daily RSI slope displays a sharp spike in the lateral trend within the nearly overbought zone, reflecting a boom in underlying bullishness. Moreover, the MACD indicator shows the increased buying pressure undermining the previous bearish crossover as the fast and slow lines regain positive alignment.
In brief, the XTZ technical analysis maintains a bullish outlook for the upcoming trend as the buying pressure increases.
Upcoming Trend
The increasing buying pressure may push the XTZ prices about the resistance trendline resulting in the $2 breakout. Moreover, the breakout rally can reach the overhead resistance at the $2.21 mark.
On the contrary, the bearish reversal will hit the 20-day SMA at the $1.83 mark.
Resistance Levels: $2 and $2.21
Support Levels: $1.83 and $1.66