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Disclaimer: The findings of the next evaluation are the only real opinions of the author and shouldn’t be thought-about funding recommendation
Purchase the rumor, promote the information, goes the adage. Zilliqa and its token ZIL have seen large hype on the web and on social media just lately. The worth of ZIL has additionally risen by practically 400% in current weeks within the wake of the optimism surrounding Metapolis, the metaverse-as-a-service platform of Zilliqa. It’s scheduled to launch on 2 April 2022 with a VIP occasion in Miami.
ZIL- 1H
Supply: ZIL/USDT on TradingView
The short-term Fibonacci retracement ranges (yellow) plotted for ZIL’s transfer from $0.098 to $0.221 prior to now few days confirmed that the worth was too bullish to recede anyplace near the 61.8% retracement stage.
As an alternative, the $0.182 stage of horizontal help was visited following a bearish divergence on the hourly chart between the asset value and its momentum (RSI).
Following this pullback, ZIL has seen a fast, impulse transfer again upward following the retest of help. On the time of writing, it was trying to interrupt previous the $0.224 resistance stage.
Rationale
Supply: ZIL/USDT on TradingView
The RSI on the hourly chart had not dipped considerably beneath the impartial 50 line, even on the pullback to $0.177 which represented a 15% drop. Prior to now few hours, the RSI surged as soon as extra to indicate that the development and momentum had been strongly bullish.
The OBV, identical to the worth, was additionally trying to climb previous an area excessive. If the OBV does accomplish this within the subsequent few hours, it could be one other signal of robust shopping for strain. The CVD was additionally inexperienced in current hours, to focus on the demand.
Conclusion
The symptoms and the worth charts had a bullish outlook on the decrease timeframes. Then again, the 4-hour and 6-hour charts had bearish divergences starting to crop up. Furthermore, for the reason that Metapolis occasion is scheduled for this Saturday, it may so occur that excited retail consumers purchase ZIL and supply exit liquidity to the bigger gamers out there. Due to this fact, for late consumers, warning is suggested.
