- Tezos price uptrend is on hold due to heavy selling pressure at the 200-day SMA and 100-day SMA confluence resistance.
- Tezos Kathmandu protocol upgrade goes live with scaling capabilities.
- XTZ price eyes a daily close above the hurdle at $1.5500 to validate an uptrend to $1.7566.
Tezos price is trading at $1.5267 after defying strong opposing forces witnessed in the cryptocurrency market this week. Investors remain jittery about the worsening economic environment globally, especially with inflation blowing off ceilings in the United States and Europe.
The United Kingdom has hinted at a recession amid a 0.1% decrease in its GDP (Gross Domestic Product), while Germany is at the risk of a -3.5% economic growth in 2023.
Tezos price climbed by almost 4% this week from support at $1.4000. However, profit takers were a stumbling block, forcing XTZ to abandon recovery on tagging $1.550. Support at $1.5170 must hold to prevent losses from erasing the token’s weekly progress.
Tezos Kathmandu upgrade opens up the protocol to scaling capabilities
Tezos announced its 11th protocol upgrade dubbed Kathmandu on September 23. The team said that the software upgrade is equipped to support off-chain computation using Layer 2 solutions such as optimistic roll-ups. Users can generally look forward to a better experience due to the streamlined blockchain process to achieve a higher transaction throughput.
Welcome to #Kathmandu - @Tezos' 11th protocol upgrade.
— Tezos (@tezos) September 23, 2022
The #blockchain built to last.#Tezos #BlockchainEvolved pic.twitter.com/doFOKxJaY4
The team added in the upgrade’s formal proposal that Tezos now has a dedicated testnet protocol to be utilized when experimenting with new features – improving the random nature of the mainnet delegate selection, a move designed to enhance network security.
Investors positively reacted to the Kathmandu protocol upgrade by grabbing new positions. However, the bear market has taught traders to book early profits, thus initiating an ongoing pullback from a solid confluence resistance formed by the 100-day (blue) Simple Moving Average (SMA) and the 200-day SMA.
Now, all eyes are focused on the 38.2% Fibonacci retracement level’s ability to absorb the rising selling pressure at $1.5192. Buyers may take back control if the Moving Average Convergence Divergence (MACD) firmly holds its positive outlook. Odds will favor a move up the ladder as long as the MACD settles above the mean line.
XTZ/USD four-hour chart
Investors will be looking for new entry positions at the 50-day SMA (red) if support at $1.5192 disintegrates. They may need to look for entries further down at $1.440 and $1.4000 if a selloff flares up.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Litecoin Price Prediction: LTC tries to retake $100 resistance as miners halt sell-off
Litecoin price grazed 105 mark on Monday, rebounding 22% from the one-month low of $87 recorded during last week’s market crash. On-chain data shows sell pressure among LTC miners has subsided. Is the bottom in?
Bitcoin fails to recover as Metaplanet buys the dip
Bitcoin price struggles around $95,000 after erasing gains from Friday’s relief rally over the weekend. Bitcoin’s weekly price chart posts the first major decline since President-elect Donald Trump’s win in November.
SEC Commissioner Hester Pierce sheds light on Ethereum ETF staking under new administration
In a Friday interview with Coinage, SEC Commissioner Hester Peirce discussed her optimism about upcoming regulatory changes as the agency transitions to new leadership under President Trump’s pick for new Chair, Paul Atkins.
Bitcoin dives 3% from its recent all-time high, is this the cycle top?
Bitcoin investors panicked after the Fed's hawkish rate cut decision, hitting the market with high selling pressure. Bitcoin's four-year market cycle pattern indicates that the recent correction could be temporary.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot ETFs in January and the reduced supply following the fourth halving event in April.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.