Tezos supporters must have been pleased with their decision to hold this cryptocurrency, since it managed to break through a significant barrier level. The XTZ coin is unusual in that it places a premium on security and governance. Institutional grade security leveraging OCaml and Michelson languages to support formal verification is one of three key aspects noted on their website. Like languages have only been used in sensitive activities such as nuclear and aerospace.
Tezos cryptocurrency holders have a role in the evaluation, proposal, and revisions, allowing users to participate to the Tezos crypto network’s ongoing innovation. Tezos further addresses Bitcoin’s disadvantage by employing the more energy-efficient Proof of Stake validation technique. Tezos blockchain consumes less energy and hence costs less to validate, giving it a more user-friendly crypto-network for constructing eco-friendly blockchain applications.
Tezos flew towards the moon after gaining support from the immediate support levels in an attempt to retest its all-time high of $8.54. At the moment, the nearest and next aim to keep an eye on is $5.75.
Tezos Price Prediction
The same thing happened as indicated in our recent technical analysis of Tezos cryptocurrency on August 16th, when we projected a significant higher move after passing the highlighted resistance zone. XTZ outperformed our predictions, increasing by more than 45 percent in less than 10 days. XTZ’s price motion and momentum provide significant confidence in holding the cryptocurrency. Mixed candle patterns imply subsequent profit booking and create an improbable scenario of fast and rapid profit booking. Tezos is facing resistance between $5.45 to $6.00 and is strongly supported by the 200 DMA at $4.20 levels.
The most notable part of XTZ is the gains made on August 25th, 2021, which were only feasible due to significantly high volumes, about twice as much as usual days. XTZ has seen significant investor interest and volume over the last three or four days. However, the massive gains call for profit taking, since no one predicted a single-day gain of 29 percent, let alone on a closing basis. From the outside, the price movement is robust and likely to go upwards. Any consolidation over $6 should trigger fresh buying sentiment, leading to new all-time highs.
The MACD indicator has produced a large gap between the two moving averages, indicating that the trend may continue. At those levels, a bearish crossover would show the first signs of weakening. TEZOS is also well supported by the 200 DMA at $4.20.
Even on the hourly charts, XTZ exhibits a robust price activity. It can be observed that it climbed up in back-to-back green candles, indicating sustained buying, and what we are seeing is a profit booking from fresh three-month highs. While the uptrend had solely green candles, the downtrend had a mixed bag of green candles in between, indicating that XTZ could be trading with a bullish sentiment.
On one side, where the MACD indicator is confirming profit taking, the RSI has begun to move back upwards, increasing optimism that this rally will rebound to higher levels. Bollinger bands show broad mood and the likelihood of a trend continuing. XTZ is in an optimistic mood as long as the price is trading near the middle line, which is indicated in dark yellow. However, based on our Tezos prognosis, one should be exceedingly cautious about making a new entry into this hot cryptocurrency.