XTZ Technical Analysis: Will Tezos Finally Exit The Falling Wedge?

XTZ price action showcases an increasing possibility of a bullish reversal breaking above the long-coming falling wedge pattern. Key technical points:

• The market price has increased by 4.31% over the past 24 hours.
• The price action shows a high likelihood of a falling wedge breakout.
• The 24-hour trading volume of Tezos is $80 Million, indicating a rise of 30%.

Past Performance of XTZ

XTZ price action shows a long-coming falling wedge pattern in the daily chart accounting for a downfall of 67% after the $4 fallout. The 50-day SMA (red) provides a dynamic resistance, moving along with the resistance trendline to keep the bullish growth in check. The recent bearish rejection from the resistance trendline knocks the market price under the $1.50 mark.

Source- Tradingview

XTZ Technical Analysis 

XTZ price sustains above the $1.30 mark resulting in a higher likelihood of a reversal to the resistance trendline. Moreover, the likelihood of a double bottom pattern increases as the buyers regain trend control. Hence, traders can expect the double bottom breakout formation resulting in the breakout of the falling wedge pattern. The MACD and signal lines showcase a bullish trend struggling to maintain a positive alignment as the spread decreases. However, the positive growth in the bullsih histograms forecasts an uptrend continuation. However, the RSI indicator shows the slope reversing from the 14-day SMA indicating a rise in the underlying bullishness. Moreover, the bullish divergence in the double bottom at $1.25 increases the chances of a  reversal rally surpassing the resistance trendline. In a nutshell, the XTZ technical analysis projects the increasing possibility of the falling wedge breakout.

Upcoming Trend

The XTZ price action prepares a price jump from the $1.25 mark and an attempt to surpass the resistance trendline. Hence, traders can expect the market price to reach the $1.66 mark. Resistance Levels: $1.50 and $1.66 Support Levels: $1.25 and $1.10

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