- Zilliqa’s price action forms a descending wedge pattern with consistent support touches, signaling a possible bullish breakout structure.
- RSI and MACD indicators show a strong bullish divergence, suggesting weakening bearish pressure and potential upward price momentum.
- Analyst projects a 260% to 300% price increase back into the $0.044 range if volume confirms a breakout above the current wedge.
Zilliqa (ZIL) is experiencing preliminary evidence of an impressive bullish turnaround, and it is being supported by good technical divergence on main indicators. The price is testing support at the same time that momentum indicators are increasing, and there is a potential of a breakout.
Strong Divergences Signal Possible Trend Reversal
According to crypto analyst JAVONMARKS, ZIL is exhibiting a “massive bullish divergence” across both the Relative Strength Index (RSI) and the MACD. These divergences—where price remains flat or drops while momentum indicators trend higher—are often early signals of a shift from bearish to bullish market sentiment.
The ZIL chart also depicts the existence of a long-term descending wedge which involves placing of lower highs and lower lows with their convergence arriving at a support line. Every price correction still respects this trendline implying that buyers are entering the market around the same levels. The pattern is also accompanied by falling volume, a common trait seen before breakout attempts.
Bullish Setup Projects a Return to $0.044 Levels
JAVONMARKS’ analysis outlines a potential move of 260% to 300% if ZIL confirms a breakout from this wedge structure. A breakout would be expected to send the price back into the $0.044 range, where previous resistance levels are situated. The clean upward projection arrow on the chart aligns with this thesis, indicating room for a sustained rally.
For this move to validate, market participants will look for a breakout candle above the descending wedge, followed by a surge in volume. Such signals would indicate renewed investor confidence and accumulation.
ZIL Holds Support as Market Watches for Breakout
At the time of writing, the price of Zilliqa stands at $0.01066, which has gone up by 0.39% over the past 24 hours, and its 24-hour trading volume is at $7,090,283. While the weekly performance remains flat, technical indicators suggest underlying strength.
The price structure, RSI divergence, and wedge formation together point to a likely breakout scenario. Traders now await confirmation signals before positioning for the expected upward move.
