Zcash (ZEC), which was following a bearish path along with altcoins such as Altcoins, had shaved as much as 14% over the last few days.
- Zcash’s last week loss of 14% opens up a greater buying opportunity
- Amazing Oscillators appears bullish
- ZEC’s RSI at 42
A glimpse at an opportunity to buy has been seen on-chain, hinting at a downward trend. Will the bulls succeed and bring the price down to $66 or will they fail?
Zcash Fibonacci levels of retracement have risen from $55 to $92.6, showing an 83.4% level of retracement, close to the support zone at $58. Bullish lane emerged in June as the $55-$58 area.
OBV May Hint at Increased Buying Volume
In addition, OBV seems to have increased since July. This suggests a higher buying volume than usual and is clearly stronger relative to selling pressure.
However, frequent retests at the support level appear to have weakened it. The ZEC could fall to below $58, which would mean that the price of the coin may slip further to $55 or $52, opening up new opportunities for buying.
Despite the fact that the momentum is geared toward sellers, the RSI cannot exceed the 50 zones.
Zcash’s strength appears to be declining and it can be seen on a 2 hour chart. This is in contrast with the weakness that we have been seeing over the last few weeks. As seen in August, $67.3 was bearish. The same area was retested twice.
This point the AO reveals a bullish divergence. As the price pushes towards the support zone the momentum appears to shift.
ZEC’s price is currently heading above the consolidation period while enjoying the uptrend.
ZEC’s Price Spikes By 1.86%
Based on CoinMarketCap, ZEC’s price has surged by 1.86% or trading at $58.25 as of press time. Market capitalization declined by 4.62%. The trading volume also dropped 39. The buyers have been trying to expand their ZEC holdings at 53%.
ZEC can be seen rising in the daily chart as it is hovering near the top trendline. To breach the support level, bulls will need to hold ZEC.
On the other hand, bears can try to deter the coin’s uptick at any time with the constricted rate of accumulation.
They must collect if the bulls are to move in force without any deterrence.
Based on the daily chart, ZEC’s price is trying to maintain its momentum during the consolidation period. Technical indicators show the increased speed of ZEC’s upward trend.
ZEC’s RSI is currently 42 which is below neutral. There is a possibility that trends may change as the MACD appears to cross with the signal lines.
Crypto market capital at $938 billion according to the daily chart. Source: TradingView.com| Source: TradingView.com Featured image by Tino Group. Chart: TradingView.com
(This analysis is the author's opinion and should not necessarily be considered investment advice.).