Tezos Recoups at $2.27 Low to Escape the DowntrendSeptember 20, 2020
Tezos’s downtrend has reached an alarming rate as sellers threaten to push prices beyond the previous lows. Today, the coin has fallen to $2.34 as price action shows bearish signals of further decline.
The coin is approaching the previous low of July 3 when the price fell to a $2.27 low. In July, the altcoin rebounded above the price level to resume the previous trend. Perhaps, the current downtrend will terminate at the historical price level.
In the meantime, the bears have broken the current support at $2.40. Certainly, the coin will fall and find support at $2.0. Buyers will recoup at the $2.00 low if price finds support at the recent low. On the upside, buyers have an uphill task to push the coin above the $3.20 high to escape the downtrend zone. Probably, the coin will resume a fresh uptrend above the $3.20 high.
Tezos indicator reading
On September 3, the crypto has been in a strong bearish momentum as the coin is below the 20% range of the daily stochastic. Tezos is in an oversold region and the stochastic bands are horizontally flat. The EMAs are pointing southward indicating the downtrend.
Key Supply Zones: $4.50, $4, $3.50
Key Demand zones: $2.50, $2, $1.50
What is the next direction for Tezos?
A downward movement of the coin is likely as price shows bearish signals. On September 4 downtrend; the retraced candle tested the 78.6% Fibonacci retracement level. It indicates that the coin will fall to the low at 1.272 Fibonacci extension or $2.00 low. Thereafter the market will reverse. The coin has rebounded as indicated by the price action. Therefore, the Fibonacci tool may not hold.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
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