Zilliqa (ZIL) Extends Gains After Falling Wedge Break; 20% Gain Seen

Zilliqa (ZIL) started the week on a bullish note after breaking above a descending wedge on Monday. Accordingly, the altcoin has shown a notable uptrend, trading at $0.01440 at the time of writing, a nearly 5% jump.

ZIL will extend the climbs

The altcoin is showing a bullish outlook after rising 3.50% in the last day. Additionally, on-chain data from Coinglass suggests that Zilliqa will continue to rise in the coming sessions.

The rise in open interest while the long/short ratio remains above one confirms ZIL’s bullish trajectory.

Yesterday, August 21, Zilliqa delayed its growth after facing resistance at $0.0145.

This has caused a slight drop in the altcoin’s current price. However, a close beyond the $0.0145 barrier could trigger a 20% rally to the July 29 peak of $0.0175.

Meanwhile, the Awesome Oscillator and Relative Strength Index are hovering around their neutral areas of 0 and 50, respectively. These indicators need to rise above their neutral levels to support sustainable uptrends for ZIL.

Coinglass data supports Zilliqa’s bullish stance as open interest in futures is rising. OI shows the total number of pending derivatives contracts waiting to settle, as well as whether the contract will see an increase or decrease in cash inflows.

An increase in open interest indicates additional funds and new buyers are entering the market, confirming a bullish bias. On the other hand, a decrease in OI signals a liquidation of the market as investors exit the market.

At the time of publication, Zilliqa’s open interest stood at $9.67 million, up significantly from $8.27 million on Monday.

This indicates that more money is flowing into the altcoin and activity is being bought from new participants.

Moreover, the long/short ratio of 1.12 supports the bullish outlook for ZIL. Any reading above one shows that most traders are expecting price spikes.

While technical indicators and blockchain data are signaling bullish sentiment towards Zilliqa, overall market sentiment still plays a decisive role in shaping ZIL’s price trajectory.

Current Crypto Market Outlook: Fed Minutes Drive Price Action

The cryptocurrency market showed a recovery on Thursday after the Fed’s dovish stance. The announcement of the Federal Reserve’s minutes bolstered investor confidence in cryptocurrencies.

An expected rate cut in September has reduced the appeal of risky assets, pushing Bitcoin above the $61,000 mark.

Low borrowing costs are likely to boost investment, supporting cryptocurrency buying and potentially pushing prices to record highs. Additionally, analysts are expecting a monumental altcoin season in the next few months.

While the current crypto market outlook supports Zilliqa’s bullish sentiment in the short term, the expected broad-based growth will strengthen ZIL’s long-term performance.

price ZIL

The token has maintained a steady uptrend after breaking out of a recent downward pattern. ZIL has gained 3.50% in the past day to hover at $0.01440, with a 10% jump in daily trading volume supporting the ongoing rally.

ZIL 1D chart on Coinmarketcap

Meanwhile, overall market trends will be crucial in determining the altcoin’s trajectory. A sudden bearish impact will negate Zilliqa’s expected surges.

A daily candle close below the August 7 low of $0.0123 could mean ZIL retests support at $0.0108 – a 12% drop.

Zilliqa (ZIL) Extends Gains After Falling Wedge Break; Invezz Sees First Sign of 20% Rise