- Chiliz price treads close to a crucial level at $0.50 that could end the 1,680% bull rally soon.
- The Momentum Reversal Indicator’s (MRI) extensions A and B hint at a full-blown reversal coming soon.
- A bounce from the inclined demand barrier could kickstart another bull run for CHZ.
Chiliz price has slowed down since March 12 and indicates a reversal could be underway.
Chiliz price needs to defend against a reversal
Chiliz price surged a whopping 1,680% between March 1 and 12. Since its peak at $0.94, CHZ bulls seem to be having trouble keeping the asset afloat. At the time of writing, Chiliz market value was fast-approaching an inclined support line that has sustained this rally in its initial stages.
March 6 was the last time this line was tested by Chiliz price. Now, Chiliz price could retest this barrier around $0.50. Interestingly, this line coincides with the 78.6% Fibonacci retracement level at $0.49.
Hence, a breakdown of this could trigger a full blow correction to the subsequent demand barrier. In this case, Chiliz price could initially drop 40% towards the 61.8% Fibonacci retracement level at $0.29, coinciding with the 50 twelve-hour moving average (MA)
If this level fails to hold the sellers, CHZ might head as low as $0.20 at the 50% Fibonacci retracement level. This move would mean a 77% retracement from its all-time high at $0.94.
Adding credence to the bearish outlook is the MRI indicator, which has printed extensions A and C for the rally that began in mid-March. So, a reversal in the uptrend here seems more than likely.
CHZ/USDT 12-hour chart
While a breakdown of this critical barrier is bearish, a bounce from it could spark a bullish momentum that could allow Chiliz price to retest the all-time high at $0.944.
Sustained or increasing bullish pressure here could ascend CHZ price to $2.14 at the 127.2% Fibonacci retracement level.
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
US presidential election outcome could shape the future of crypto
US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).
Bitcoin ETFs beat Gold ETFs with 65% gain since launch
Bitcoin ETFs have reshaped the digital asset investment landscape since their approval in January. Their total assets under management climbed over $70 billion during the weekend, placing them ahead of other investment products, including gold.
XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand
Ripple's XRP is trading at $0.5050 up slightly by 0.2% in the past 24 hours as it struggles to sustain a move above a key symmetry triangle resistance. Meanwhile, in its recently released Q3 report, Ripple noted the rising listing and relisting of XRP across crypto exchanges and global platforms.
Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF
Ethereum is trading near $2,420, down about 1% on Monday, but could bounce off a key descending trendline close to the $2,258 historically high demand zone. Meanwhile, the State of Michigan pension fund revealed an investment of $11 million in ETH exchange-traded funds.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
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.