Tezos’s (XTZ) price could reclaim some of the losses witnessed in the last couple of days; however, this would warrant a change in investors’ behavior.
Their sentiment would need to shift from bearish to bullish to support a recovery rally.
Tezos’ Investors Send Mixed Signals
XTZ price has a shot at climbing back the charts since the investors are slowly increasing the capital invested in the asset. The Chaikin Money Flow (CMF) indicator shows a significant surge in Tezos’ inflows. This is a positive sign, indicating an increase in buying pressure for the cryptocurrency.
This uptick in CMF suggests that more investors could be moving to accumulate XTZ. Increased buying pressure often correlates with upward price movement, reflecting growing confidence in the asset.
However, Tezos’s funding rate fluctuates between positive and negative territory. This volatility points to a lack of consensus among investors about the short-term direction of the market.
Positive funding rates generally hint at long contracts dominating the market, whereas negative rates suggest short contracts are leading. In the case of XTZ, though, this volatility in the funding rate points to a lack of consensus among investors about the short-term direction of the market.
Read More: What Is Tezos (XTZ)?
This could result in sideways movement in XTZ price.
XTZ Price Prediction: Recovery From Lows
The XTZ price is currently at a seven-month low of $0.79, bouncing back from $0.76. The altcoin fell below $0.70 during this week, touching $0.68. While the altcoin has bounced back, it may not see a rally anytime soon.
The mixed signals from investors point towards a period of consolidation for Tezos. XTZ could thus remain constricted within $0.76 and $0.87.
Read More: Tezos (XTZ) Price Prediction 2024/2025/2030
A breakout or breakdown would invalidate the bullish-neutral thesis, sending the XTZ price rallying or falling. The targets for the former condition are $0.94, while for the other, they are $0.60.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
