ZIL price is in a continuous downward spiral but trades on a muted note on Tuesday. The recent price action had pushed it below the crucial retracement levels.
- ZIL price trades in a very tight range with no clear directional bias.
- Expect, a bounce back in the price if the price gives a daily close above the 0.618% Fibonacci retracement at $0.11.
- However, the downswing could extend toward $0.78.
ZIL price is near an inflection point
ZIL’s price witnessed a considerable drop in its buying since the record high of $0.23. The ZIL buyers failed to carry forward the gains beyond the mentioned level which led to a trend reversal. Investors collect the liquidity extending from $0.16 and $0.13.
Further, a fall below the crucial $0.618% Fibonacci retracement fuels the downside momentum extending the selling toward the March 30 lows at $0.98.
However, the formation of the ‘Doji’ candlestick suggests a tug of war between bulls and bears to take over the further trend direction. After a fall of 35%, the sellers look exhausted as the volumes dry up on the daily chart.
Now, a daily candlestick above $0.12 could mean a reversal is on the corner. In that case, the first upside target is located at the $0.5% Fibonacci retracement level at $0.13.
Next, the ZIL buyers would attempt to lock in 23% gains from $0.13 to $0.16.
As of writing, ZIL/USD trades at $0.10, down 0.13% for the day. The 24-hour trading volume stands at $696,087,313.
Technical indicators:
RSI: The daily relative strength index hovers near 50 with a neutral stance. If the oscillator tilts slightly toward the positive side then the price could see more upside in the short term.
Volume oscillator: The indicator trades near the oversold zone as the price continues to fall.
