- Tezos price has ascended on relatively low volume.
- XTZ price has breached through an ascending trend line that held support throughout the summer.
- Invalidation of the bearish thesis is a closing candle above $2.03.
Tezos price shows concerning signals that investors should be aware of.
XTZ price is poised for pain
Tezos price displays a change-of-hands as the uptrend hike since June 18 has come to a screeching halt. An ascending trend line that has consistently provided support for the XTZ price has officially been conquered by the bulls as a 3-day bearish engulfing candle settled below it at $1.57. Additionally, the newfound bearish engulfing candle is now the largest 3-day candlestick within the entire summertime rally.
Tezos’ XTZ price currently auctions at $1.63 under very minute levels of trading volume. Retail traders are likely looking to latch on to the newfound bearish influence in hopes of making a quick day trade scalp. Traders looking to join the bearish trend should wait for a classic retest and rejection signal of the breached trendline before jumping into the market.
Bearish targets lie at $1.20 for a further 25% decline.
XTZ/USDT 3-Day Chart
Invalidation of the downtrend scenario is a closing candle above $2.03. If the bulls can accomplish this hurdle, they could re-route north, targeting $2.30 in the short term. Said price action would result in a 40% increase from the current Tezos price.
In the following video, our analysts deep-dive into Bitcoin's price action, analyzing key levels of interest in the market – FXStreet Team