- Zilliqa price is coming into the first strong Fibonacci level.
- ZIL price has breached the 40 level on the Relative Strength Index.
- Invalidation for the bearish model will be a close above $0.17.
Zilliqa price has not displayed any bullish signals yet. Traders should consider waiting for more price action.
Zilliqa price is floating on hope
Zilliqa price has made an impulsive move to the downside, warranting traders to be patient before forecasting new all-time highs are to be made. Last month ZIL price was deemed the "Crypto Outperformer " as the digital asset rallied an impressive 383% in just a few days. A Fibonacci retracement tool surrounding the rally suggests that $0.12 is the first level to consider looking for some bullish support. If the bulls cannot hold the 38.2% Fib level, the bears will likely have enough strength to push the price into $0.10 and even $0.08 at the 50% and 61.8% Fib levels.
Zilliqa price will need to print strong buy candles at the 38.2% Fib level to support more gains in the future. As of now, there is no evidence to rely heavily upon. Hopeful traders should be wary as the current ZIL price at $0.12 has broken through the buyers' territory level on the 6-hour chart. Secondly, there is a bearish engulfing pattern with an uptick in volume compared to the previous consolidation.
ZIL/USDT 6-Hour Chart
Zilliqa price will need to establish a firm bullish commitment at this level. If not, investors should stay away for now.
An invalidation for the bearish thesis will be a closing candle above $0.17. If this bullish scenario plays out, Zilliqa price will likely retest $0.19 and $0.20, resulting in a 60% increase from the current ZIL price.