Zilliqa Defends Value Area Low, Accumulation Suggests BreakoutZilliqa has been consolidating around its value area low for a considerable amount of time, repeatedly defending this level. The extended accumulation suggests a potential breakout if supported by bullish volume inflows.
Zilliqa’s price action has remained rangebound but notably resilient. The value area low has acted as a key level of defense, with buyers consistently stepping in to absorb supply. At the same time, the monthly SIP support has been respected, adding further weight to the bullish case.
Key Technical Points
- Value Area Low: Tested and defended multiple times.
- Monthly Support: Strong base for accumulation.
- Explosive Potential: Historical reversals from this level have led to sharp rallies.
Analysis
The repeated defense of support signals accumulation. Buyers appear comfortable absorbing sell pressure at these levels, preventing the market from breaking lower toward deeper supports. This accumulation often precedes strong directional moves, particularly when reinforced by high trading volume.
Zilliqa’s historical price behavior shows that once reversal signals form near this support, price tends to accelerate rapidly. A breakout backed by bullish inflows would likely target higher resistance levels quickly. The volume profile highlights the importance of demand nodes materializing, as without sustained volume, price risks falling back into consolidation.
What to Expect
Zilliqa is poised for an explosive move if accumulation transitions into expansion. Traders should watch for a surge in volume and a confirmed breakout above monthly support, which would validate the bullish setup.
