- Zilliqa price has been on a massive downswing, suggesting a lack of buyer interest.
- A recovery above the range low at $0.0693 will increase the odds of an upswing.
- If ZIL breaks down the $0.0549 support level, it will invalidate the bullish thesis.
Zilliqa price has shown minor resistance to the sell-off, which has led to a steady downtrend. Now ZIL needs to recover above a crucial barrier to have any chance of heading higher.
Zilliqa price hangs in the balance
Zilliqa price crashed 30% from $0.097 to $.069 between June 20 and July 16 to tag the range low at $0.069 multiple times. Although ZIL slipped below this barrier, the recoveries have held the altcoin above it.
Therefore, investors need to note that a swift reclaim of $0.069 will indicate the presence of buyers and open up the possibility of a 25% upswing to $0.0853.
If the bullish momentum continues to increase after this climb, Zilliqa price will take a jab at $0.096, a 38% rally. In some cases, ZIL might sweep above this level to collect liquidity, which could be the sign of an incoming retracement before another leg higher.
If bullish, Zilliqa price will make a run toward the 50% Fibonacci retracement level at $0.108.
ZIL/USDT 6-hour chart
Regardless of the optimism and hope, a failure to climb past the range low at $0.069 will reveal bears’ plans to push ZIL lower. The immediate support level at $.060 is the last line of defense.
While a bounce from this barrier might kick-start an impulsive wave, a breakdown will invalidate the bullish thesis. If the selling pressure continues to rise after this development, Zilliqa price might tag $0.050.
