Tezos (XTZ) is a smart contract and decentralized application (dApp) platform which utilizes a delegated proof-of-stake (dPOS) governance model similar to EOS (EOS) or Lisk (LSK) where stakeholders earn the right to vote on various protocol changes and how the ecosystem is governed.
Tezos is currently ranked 22nd with a total market cap of $272 million and at the time of writing is trading at $0.45 — a new all-time low.
XTZ hit the markets in October 2017, traded on some small exchanges, and went on the ride the year-end bull run rocket from $1.50 to $11.20.
Of course, like everything else in the cryptocurrency market in 2018, XTZ has corrected significantly — and still continues to do so, week after week.
Taking a look at both the three-day and two-week stochastic RSI, we can see a trend of making lower highs and lower lows.
If the same pattern continues, the price will most likely (continue to) dip further as it explores lower supports. Since the price is already at an all-time low, it can be tricky to predict where the bottom could possibly be.
Tezos’ fall has presented itself in a fan formation and looks to be securely in the top half at the moment.
Considering the high stochastic RSI value and recent bounce off of the top resistance of the fan, it is likely that XTZ is in for a further spill, possibly for another test of the midline support in the neighborhood of $0.35 to $0.37.The short-term trade options on XTZ are slim at the moment when compared to the risk involved. Click To Tweet
If Bitcoin takes another nosedive, XTZ could end up surrendering the top half of the fan and slip back to test the lower channel support in the range of $0.20 to $0.25.
Those looking to accumulate for the long-term may want to set limit buys and be vigilant in monitoring the price. Tezos has been sinking to levels that it has never seen before, making it one hundred times harder to judge where the bottom could possibly be.
Where is the bottom for Tezos (XTZ)? What is your prediction for XTZ price in 2019? Let us know your thoughts in the comments below!
Images courtesy of TradingView.
Disclaimer: The contents of this article are not intended as financial advice, and should not be taken as such. BeInCrypto and the author are not responsible for any financial gains or losses made after reading this article. Readers are always encouraged to do their own research before investing in cryptocurrency, as the market is particularly volatile. The author of this article does not hold XTZ.