Trade Recommendation: Zilliqa
Zilliqa (ZIL/BTC) is giving us beautiful price action. While the market is still in range accumulation, it looks like it won’t revisit recent lows of 0.00000347 anytime soon. The price action over the last few days plus our technical indicators support this view.
Technical analysis shows that ZIL/BTC is carving a bullish higher low setup of 0.0000046. This view comes after the market showed signs of stability at this level after it retraced from the high of 0.0000067 on January 27, 2019. Notice how volume was anemic between February 10 – February 18. This was a signal that bears were losing interest to sell at this price area.
The decrease in supply attracted bottom pickers who were looking to buy the dip. When they noticed that 0.0000046 was holding, they started to enter the buying scene. The emergence of buyers helped Zilliqa repel the strong selling pressure on February 19. This enabled the market to stay above the support.
The ability to stay above 0.0000046 is bullish. It allows the market to flip a former resistance into support. On top of that, it gives Zilliqa the room to build a new base. The new base will serve as the staging ground that will position bulls for a strong rally to our range high.
The strategy is to buy as close to 0.0000046 as possible. As long as Zilliqa trades above this level, bulls will likely gather the momentum to climb to our target of 0.0000067.
The process may take less than a month.
Daily Chart of Zilliqa/Bitcoin on Binance
As of this writing, the Zilliqa/Bitcoin pair is trading at 0.0000048 on Binance.
Summary of Strategy
Buy: As close to 0.0000046 as possible.
Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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