The Tezos price has been in a relatively bearish trend in the past few months. XTZ, its native token, is trading at about $5, which is 45% below its highest level in October this year. In the same period, other cryptocurrency majors like Bitcoin and Ethereum have rallied to their all-time high.
Its total market capitalization has crashed to $4.3 billion. This has happened as more investors question the platform’s ecosystem and the rising competition from the likes of Solana, Avalanche, and Algorand. Still, Tezos has had some wins recently, with companies like Red Bull and Mclaren choosing it for their NFTs.
On the daily chart, we see that the XTZ price rose to a key resistance at $8.78 in October. This was an important level since it was along its previous all-time high. It was also along the upper side of the cup and handle pattern that was forming. The ongoing decline seems to be part of the handle section of this pattern.
Still, the moving average shows that bears are prevailing. The 25-day and 50-day moving averages have made a bearish crossover pattern. The price has also formed a descending channel that is shown in black. The current price is between this channel.
Therefore, for now, the Tezos price will likely remain under pressure. However, since the cup and handle (C&H) pattern is usually a bullish sign, there is a likelihood that it will resume the bullish trend in the long term.
This post was last modified on %s = human-readable time difference 08:05