Since its uptrend at the end of November, the Zilliqa (ZIL) price has risen by about 150%. While Zilliqa is selling from its peak level, it is expected to reverse its trend and continue its upward movement.
Zilliqa Long Term Levels
The weekly chart shows that ZIL rose above the $ 0.027 long-term resistance area towards the end of November. Since then, ZIL has grown significantly to $ 0.066. The next closest resistance area is located at $ 0.091 (0.382 Fib retracement level).
In a reverse setup, the support area is at $ 0.027, which coincides with both the breakout level and the 0.618 Fib retracement level of the upward move so far (black).
The technical indicators are showing a bullish trend and are supporting the continuation of the upward movement, especially given that the Stochastic oscillator is in a bullish trend.
The logarithmic chart is used in the chart below to better visualize large price fluctuations.
The lower timeframes for ZIL show a significant downward trend in both the RSI and MACD at the above $ 0.0667 level. However, a significant drop has already occurred as a result of the divergence.
The two-hour chart shows ZIL trading at the support level around $ 0.051. The next lower support is located at $ 0.046.
The RSI created a hidden bullish divergence as the MACD turned negative. This could be a sign that ZIL is expected to reverse its trend soon and continue to rise.
ZIL Wave Number
The cryptocurrency trader @CryptoTony_ outlined a ZIL chart and stated that he started an extended third wave in a bullish formation that could eventually lead him to $ 1.
While it is possible that the number presented is correct, the continued increase seems more likely to be in wave 3 (shown in white below) rather than the 1st sub wave of the 3rd wave.
The main reason for this is that they have similar lengths of time between waves 1 and 3, as well as a ratio of 1: 1.61. This ratio is very common in upward impulses.
Therefore, while ZIL is still expected to move up after completing wave 4, the highest value for the move’s peak is likely to be closer to $ 0.115 instead of $ 1 as presented in the tweet.
The sub wave number is shown below in orange.
ZIL Wave Number
While Zilliqa is expected to exit its current support area, it seems likely that it has entered a mid-term correction.