- Chiliz price has quietly reached the 0.50 retracement level of the rally from the 2021 lows.
- IOMAP shows formidable resistance between $0.493 and $0.506.
- 21-day simple moving average (SMA) is now trending down.
Chiliz (CHZ) price has been trading in a loose descending channel since mid-March with a complete evaporation of volume on the daily chart. It demonstrates that buyers do not exist and sellers are crawling to the exits. As a result, CHZ may need a fundamental catalyst to drive it from the lackluster decline since March 12.
Chiliz price not showing emotion or commitment
The In/Out of the Money Around Price (IOMAP) data shows exceptional resistance between $0.493 and $0.506, which correlates closely with the 0.50 retracement level and the 21-day SMA on the daily price chart.
On the downside, the IOMAP data shows anemic support below $0.439, which corresponds closely to the current price.
Source: intotheblock
It is only a matter of time before CHZ breaks from the channel. The odds of a break to the downside are high considering the fragile support highlighted by the IOMAP data.
A break to the downside would quickly put the focus on the 50-day SMA at $0.327. No additional support comes into play until the 0.786 retracement level at $0.220. If panic overwhelms the market, traders should look for support at the 100-day SMA at $0.175.
CHZ/USD daily chart
The resistance is now well-noted. However, market participants should not rule out a fundamental catalyst emerging to take control of the market and drive CHZ through the key levels.
Optimistic speculators should target the 0.50 retracement level of the decline since the March high at $0.698 as the first profit target. A follow-through would discover resistance at the 0.618 retracement level at $0.764 and then the 0.786 retracement level at $0.857. A test of the all-time high at $0.976 should be evaluated only after the rebound has begun.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: Rally expected to continue as BTC nears $100K
Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week.
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.