At the time of writing, the price of Tezos (XTZ) is experiencing a downtrend. Its price has been moving in a lower trend for the past few days. It was on May 24 when it was recorded that the bulls have grown powerful. They had launched their bullish attack against the strong selling power of the bears.
This led to the bulls being able to push Tezos to a high trading price of $2.00 on May 24. At that time, the $2.00 price was the 20-day EMA for Tezos. Initially, the bulls were able to fight off the bears with strong force.
However, the bulls started to lose their energy and after some time, they failed to sustain the pressure coming from the bears. The scuffle between the bulls and the bears went on for two days, starting on May 24 and lasting until the end of May 25.
Then on May 26, the bulls ended up losing their power, and the trading price of Tezos fell below the 20-day EMA. Since then, Tezos hasn’t been able to recover from the low trading price.
Possible Move of Tezos to $2.45
A look at the Tezos graph makes it clear that a flattened pattern is being observed for Tezos with respect to its 20-day EMA. Even the relative strength index for Tezos has moved over 46. This is an indication that a reduction in the selling pressure of the bears is insight.
It is a positive signal for the bulls suggesting that after some time, the bulls can exert strong pressure. Their attempt can cause Tezos to rise over the 20-day EMA. From there, the trading price of Tezos can travel over the 50-day SMA. At the time of writing, the 50-day SMA for Tezos is $2.45.
If the bulls establish that the 50-day SMA is achievable with stronger force, then they will be able to apply more pressure, pushing Tezos to a higher trend.
Tezos to Go Down to $1.61
If the bears end up refueling their selling energy, then the price of Tezos may continue moving in the lower direction. This would result in pulling the trading price of Tezos further lower than the 20-day EMA.
With the price of Tezos constantly dropping, it may soon reach a trading price of $1.75. This will end up opening another lower channel for Tezos. As Tezos keeps moving downstream, then the trading price of Tezos may soon reach a low of $1.64.
The bears may go for another selling spree and this time, their selling power may try and pull the trading price of Tezos to a low of $1.61.