Can Zilliqa (ZIL) Maintain a Bearish Stance Or Take A Rebound?Can Zilliqa (ZIL) Maintain a Bearish Stance Or Take A Rebound?
Social metrics of Zilliqa crypto are improving hinting a possible recovery in the upcoming sessions.
The daily chart reveals a bearish crossover of the key 50 and 200 day EMAs pointing to a weakness prevailing in the market.
Zilliqa Crypto has been struggling to make a comeback in the recent sessions and break out of a correction phase. The bears are attempting to make a trend reversal in their favor. On the flip side, the bulls are actively trying to defend previous swing low to keep the trend in their favor, leading to a consolidation near the support level.
Moreover, the social metrics i.e. social dominance and social volume have reported a positive growth suggesting a potential optimism ahead. However, a bearish crossover of 50 and 200 day EMAs casts doubt on an immediate upward movement.
Let's look into a more thorough analysis and try to figure out the potential direction of Zilliqa price in the upcoming sessions.
Rising Social Metrics Signals Bullish Days Ahead
As per the data obtained from a financial website app.santiment.net, there has been a notable rise in the social dominance as well as the social volume metrics in the recent sessions. The social dominance has jumped form 0.021% to 0.075% suggesting a possible uplift in the price.
The social dominance and social volume chart reflects change in awareness and the popularity of the ZIL crypto among the users. Social media platforms like Twitter, Instagram and Facebook act as a medium for the crypto to spread its presence and appeal.
Moreover, an increased activity in social metrics suggests the rising participation of the users which ultimately results in an increased demand. Generally it has a positive impact on the price in the short term.
Can A Bearish Crossover Result In A Negative Trend Shift?
Moreover, the daily chart witnesses a bearish crossover of the key Exponential moving averages of 50 and 200 days suggesting the continuation of a negative trend. Yet, the price hasn't fallen below the recent low, which would confirm a bearish reversal in the trend.
On the flip side, the bulls are holding firmly above the recent swing low and are intending to keep the price trend in their favor. Currently, the daily chart is witnessing a consolidation and sideways trend.
Now, if the bulls are able to surpass the price beyond the $0.025 level, it may invalidate a bearish crossover and confirm breakout from a correction phase. whereas if the bears dominate and the price drops below the $0.022 level it may indicate a trend reversal potentially leading to a drop to $0.02 level.
Conclusion.
Zilliqa Crypto is in a correction phase, with the bulls trying to defend the low to maintain an uptrend. A rise in social dominance from 0.021% to 0.075% hints at a price boost. However, a bearish crossover of the 50 and 200-day EMAs formed over the daily chart indicates weakness in the price.
Now, If the bulls are able to surpass above $0.025, it could signal the end of a correction phase. whereas, If the price falls below $0.022, a bearish trend towards the $0.02 may follow.
