The downtrend in Bitcoin prices has also affected Zilliqa price. Its price is almost 66% down from the May 2021 ATH of $0.255. After bottoming out at $0.033 in February 2022, the Zilliqa coin took off, and the price surged to $0.23 within a few weeks. The bottom buyers got as high as 650% returns due to this pump, but the euphoria was short-lived.
ZIL/USD faced intense sell pressure at $0.23 and was severely rejected. After peaking out at $0.23, the price appears to be on a nosedive and now trading at $0.085. The price might bounce off the $0.076 level as a support aligns with 0.786 Fib retracement level. This bearish outlook has also invalidated any short-term bullish Zilliqa price prediction.
As per other Zilliqa news, the platform TVL is also plummeting, and it is almost 90% down from its last year’s highs. DeFi llama shows that the TVL currently stands at $23 million. The same figure was almost $220 million just a year ago. The project garnered huge attention in the last couple of years due to its high throughput and scalable blockchain tech. Nevertheless, the adoption stats haven’t been that encouraging.
Technical analysis of ZIL/USD price suggests that the coin broke out of the falling wedge after bottoming out at $0.033. This breakout was also supported by massive volume. The brutal rejection from $0.23 with high volume suggests that many big investors could have unloaded their bags at those levels. A the time of writing, Zilliqa is about to touch its 200 EMA, which lies around $0.082. A bounce from this level might give some hope to the bulls.
For any bullish Zilliqa price prediction, the cryptocurrency must close a weekly candle above the $0.135 level, which is acting as a resistance. As long as the price remains below that, bears won’t have anything to worry about. However, if it doesn’t bounce from the $0.07-0.082 level, the price might retest February lows of $0.033 once again.
This post was last modified on Apr 29, 2022, 14:53 BST 14:53