Disclaimer: The findings of the next evaluation are the only real opinions of the author and shouldn’t be thought-about funding recommendation.
The Tether Dominance metric has been on an uptrend over the previous few days. This got here within the wake of robust promoting throughout the crypto market, and contributors fled to stablecoins.
Zcash moved in tandem with many different altcoins because it shed 13.15% in underneath 5 days. But, the technical evaluation confirmed {that a} shopping for alternative with a transparent draw back invalidation was across the nook. Can the bulls reach driving costs again to the $66 mark?
ZEC- 12-Hour Chart
![Zcash at an attractive support zone once again, but bulls need to be aware of...](https://statics.ambcrypto.com/wp-content/uploads/2022/09/PP-3-ZEC-price.png)
Supply: ZEC/USDT on TradingView
The Fibonacci retracement ranges (yellow) have been plotted primarily based on ZEC’s transfer up from $50 to $82.8. The software confirmed the 78.6% retracement degree of this transfer to be at $57, which was fairly near the $58 horizontal help degree. Furthermore, each of those ranges have been revered in current weeks as robust help.
In late June, the $53-$58 space (marked in cyan) developed to be a bullish order block. It has been an space the place the patrons have managed to pressure good rallies.
Over the subsequent week or so, historical past may repeat itself. The OBV has additionally been in an uptrend since June, which meant shopping for quantity has been regular and persistently stronger than promoting strain.
However, repeated assessments of a help degree are inclined to weaken it. A day by day session shut under $58 would seemingly see ZEC dip additional to $55 and $53, the place one other shopping for alternative may come up.
But, the momentum remained with the sellers, because the RSI has not been in a position to rise above the 50 mark and keep above. Invalidation of the bullish could be a drop under $52.9.
ZEC- 2-Hour Chart
![Zcash at an attractive support zone once again, but bulls need to be aware of...](https://statics.ambcrypto.com/wp-content/uploads/2022/09/PP-3-ZEC-H2.png)
Supply: ZEC/USDT on TradingView
The two-hour chart highlighted the dearth of a powerful development prior to now three weeks. The $66.7 space, as soon as extra highlighted in cyan, was a bearish order block from late August. Furthermore, the identical space has been examined twice since then as a resistance band.
ZEC has ranged between $66.2 and $57.4 since late August. This might stay unchanged. The OBV was additionally caught inside a spread to bolster the notion of a steadiness between shopping for and promoting quantity.
But, the Superior Oscillator confirmed a bullish divergence. Each the RSI and the AO confirmed bearish momentum. As the value headed right into a help degree, the momentum may start to reverse.
Conclusion
Promoting strain behind Bitcoin has been robust in current weeks, and that would keep the identical approach heading into the weekend. Due to this fact, any lengthy positions on Zcash may very well be inherently dangerous. Ethereum additionally fell under $1500, and the concern out there may pressure additional losses.