- Summary:
- The XTZ/USD daily chart reveals the presence of a large symmetrical triangle, with the potential for a breakout towards the $5.12 mark.
Tezos seems to be on the edge of a huge breakout on the XTZ/USD pair, judging by the picture on the daily chart.
Following the corrective decline that occurred from the double top of 15/20 Feb 2021, the price activity got down to the 3.4969 support level, and the consolidation that followed formed a symmetrical triangle pattern.
Tezos is receiving significant support from market events, such as the recent launch of the Tezos-based remittance platform for SMEs in Asia by ShuttleOne. This follows the partnership deal recently signed by Wolfram Blockchain Labs with Tezos to enable users and developers to benefit from the interoperability of the two networks.
Technical Levels to Watch
With the active daily candle now testing the triangle’s upper border, and the price trading beyond the 60% distance between the base and apex, a breakout seems imminent. This breakout could test the 4.5196 resistance initially, with 5.1220 and 5.5002 serving as additional targets to the north if the bulls can push the XTZ/USD beyond the initial resistance barrier.
On the flip side, a rejection at the triangle’s upper border could initiate a pullback that tests the combined support at the triangle’s lower boundary and the 3.8191 price support (15 February low).
A breakdown of this support invalidates the breakout expectation, targeting 3.4969 initially. A continuous decline brings in 3.2027 and 2.7405 into the picture, with 1.8579 completing potential support pivots if Tezos is unable to garner bullish momentum.
However, the momentum favours a breakout, and therefore the momentum is there for the bulls to take or lose.
XTZ/USD Daily Chart
