Tezos (XTZ), currently listed as the #10 cryptocurrency by market capitalization hasn't had as bad of a year as other altcoins. Between October 2019 and February 2020, XTZ endured a mini bull run, increasing the value of its token nearly 360%. Presently, XTZ is exhibiting signs of continued consolidation. Let's go ahead and take a look at the XTZ/BTC pair.
Tezos Compression
Above is the weekly chart of XTZ. Here, I highlight the importance of how price is reacting off of support. That support, was previously 16 month resistance. That's a pretty bullish sign if bulls can hold this level. Expectation is for continued consolidation.
Could XTZ just rip to new highs immediately? Sure it can. However, the nature in which price is slowly retesting both support followed by resistance favors more consolidation. Notice how the Bollinger bands are slowly coming back into price (see above). Super bullish if this continues to compress. A possible result of the compression could be a symmetrical triangle (see below). Completion of this pattern would be approximately end of July 2020.
Sign of Possible Altcoin Season
Could we have a new leading indicator for altcoin season? Could it be Tezos? I'll be reviewing these questions in upcoming posts. In the interim, keep an eye on the XTZ chart as it does present an additional 2x upside vs BTC.
Until next time. Happy trading!
Tezos Compression
Above is the weekly chart of XTZ. Here, I highlight the importance of how price is reacting off of support. That support, was previously 16 month resistance. That's a pretty bullish sign if bulls can hold this level. Expectation is for continued consolidation.
Could XTZ just rip to new highs immediately? Sure it can. However, the nature in which price is slowly retesting both support followed by resistance favors more consolidation. Notice how the Bollinger bands are slowly coming back into price (see above). Super bullish if this continues to compress. A possible result of the compression could be a symmetrical triangle (see below). Completion of this pattern would be approximately end of July 2020.
Sign of Possible Altcoin Season
Could we have a new leading indicator for altcoin season? Could it be Tezos? I'll be reviewing these questions in upcoming posts. In the interim, keep an eye on the XTZ chart as it does present an additional 2x upside vs BTC.
Until next time. Happy trading!