Zcash (ZEC) has shaved as much as 14% over the past few days.
- Zcash has lost 14% in the past week but has opened up an increased buying opportunity.
- Awesome oscillators look great
- The ZEC RSI is at 42
Metrics on the chain showed a hint of buying potential with little trend. Now, will the bulls pull out and drag the price to $66?
The Zcash Fibonacci retracement levels rose from $55 to $92.6, indicating an 83.4% retracement level, which is close to the $58 key support zone. In June, the $55 to $58 zone became a bullish line.
OBV hints at increased buying volume.
Moreover, OBV has been seen increasing since July with stable buying volume compared to strong selling pressure.
On the flip side, repeated tests of the support level seem to have weakened. If the price of ZEC falls below $58, the coin could slide further towards $55 and $52, creating a fresh buying opportunity.
Still, the momentum is biased towards sellers as RSI failed to clear the 50 zone and stay above that level.
On the 2-hour chart, Zcash appears to have lost strength and weakened as seen in the past two weeks. The $67.3 area has been weak since August. Moreover, the same area was retested twice.
At this time, AO shows the diversity of bullying. Therefore, when the price enters the support zone, the momentum is considered to change.
The price of ZEC is currently on the upswing and heading above the consolidation period.
ZEC price rises by 1.86%
according to CoinMarketCapZEC was up 1.86 percent or $58.25 at the close of trading. Total market capitalization decreased by 4.62%. Moreover, the trading volume has decreased by 39.53%, which shows that buyers are trying to increase their holdings of ZEC.
On the daily price chart, ZEC can be seen increasing in price as it hovers near the upper trend line. Bulls need to be strengthened by ZEC to breach the support line.
Bears, on the other hand, can try to hedge against the coin’s upside at any point in the crowded stack.
If the bulls want to go full force and want to remove any defenses from the bears, then they must gather.
Based on the daily chart, ZEC price is trying to maintain its momentum during the consolidation period. Technical indicators show upward momentum for ZEC.
The ZEC RSI is currently 42 which is below neutral. MACD appears to be interlaced with signal lines that may indicate trend reversals.
Crypto total market cap at $938 billion on the daily chart | Source: TradingView.com Featured image from Tino Group, Chart: TradingView.com
(The analysis represents the author's personal views and should not be construed as investment advice).