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Tezos’ Powerful Uptrend Remains Viable Amid Staking Launches — Price Analysis
tezos-powerful-uptrend-remains-viable-amid-staking-launches-price-analysis
- Short term trend: Still correcting down from the last surge.
- Long term trend: Possible continuation of the uptrend.
Tezos (XTZ), one of the oldest popular altcoins around, has recently got a huge bump in attention in the crypto markets after both Coinbase and Binance announced Tezos staking on-exchange. This has caused the crypto to double in value within a month (versus Bitcoin), and we consider here if this trend is likely to continue.
The first thing we’ll do is pull up a high timeframe 3-day Tezos/Bitcoin chart to get a longer sense of price action. The first item of note is the current rejection line, at about 19,450 satoshis. This level has served as an inflection point earlier in 2019, and as a capitulation point during the 2018 bear market.
A rejection here, on the most recent surge, was not surprising, and it will be important if Tezos can close above this level on a meaningful timeframe like the daily.
Other things to note here are that the RSI is holding well just under overbought conditions, after going deep into overbought territory on the last surge. The histogram looks like its contract is down at a flat rate, rather than accelerating to the downside. These are promising indications that bullish sentiment may not be over.
Moving closer, to the daily, we continue to see mostly bullish signs. We see first that the 8 EMA continues to be held, within a previous support zone. Moreover, the last two price surges saw no dip in RSI strength, indicating continued bullish sentiment. The histogram has dipped into negative territory, but is looking like it wants to contract back toward the centerline for the most part.
Volume, however, did drop between the last two surges, which is not ideal for the bullish picture. We would like to see Tezos continue to hold the 8 EMA to remain bullish, until the 21 catches up with it.
Finally, trading against USD, we see a less bullish picture. Here, there is a clear bear divergence on the RSI, and even less volume than the BTC pairing for the most recent price surge. The histogram here is more jagged than the XTZ/BTC pairing, and doesn’t seem to be able to produce a clear contraction up to swing momentum back to the bullish side.
We should watch the 21 EMA here, to see if it continues pushing price up toward previous resistance (red band). If it falls out, Tezos will test support again around $1.10.
Overall, Tezos is somewhat interesting. It’s an older altcoin, and the BTC chart looks like it could continue with another leg up. The Tezos/USD pairing is less rosy, however, with visible signs of weakness. Even on this chart, though, price is holding so far, and we should continue to watch it if it continues to hold the 21 EMA.
The views and opinions expressed here do not reflect those of CryptoGlobe.com and do not constitute financial advice. Always do your own research.
Featured Image Credit: Photo via Pixabay.com
