Trade Recommendation: Zilliqa
Zilliqa (ZIL/BTC) has been in a downtrend for over a year now. Its own crypto winter has driven the coin to lows of 0.00000203 on May 14, 2019. That’s a plunge of over 91% from the all-time high of 0.00002508 on May 10, 2018.
Nevertheless, we are seeing signs that Zilliqa has carved a short-term bottom at the very least. This is the primary reason why we’re covering this cryptocurrency today.
Technical analysis shows that ZIL/BTC has painted a double bottom pattern on the shorter time frame when it took out resistance of 0.0000026 on May 21st. The breakout drove the market to as high as 0.0000033 on June 7th.
In addition, the breakout pushed the market above the diagonal resistance. More importantly, recent price action shows that Zilliqa converted this former resistance into support.
Speaking of flipping a previous resistance into support, Zilliqa was able to repeat this feat on a former horizontal resistance. On June 15th, bears tried to push the market down support of 0.0000026 but bulls fought back and reclaimed the support the next day with force. This is a signal that the market is targeting higher prices.
The strategy is to buy as close to 0.0000026 as possible. As long as Zilliqa trades above this level, bulls will likely gather the momentum to climb to our targets 0.00000322 and 0.0000042.
The process may take less than a month.
Daily Chart of Zilliqa/Bitcoin on Binance
Summary of Strategy
Buy: As close to 0.0000026 as possible.
Targets: 0.00000322 and 0.0000042.
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.
Featured image courtesy of Shutterstock.