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With the recent correction phase testing the inverted head and shoulder breakout, is Chiliz (CHZ) preparing a launch to $0.091?
As the Bitcoin price is struggling to uphold the $61k support, a market-wide selling spree puts the altcoin back to critical support. Amid such conditions, the Chiliz token is down with a second bearish day and hangs at a crucial supply-turned-demand zone near $0.067.
Will the CHZ price sustain above this critical zone for a post-retest jump to $0.074?
Chiliz Price Analysis
Following a bearish reversal from the $0.074 resistance level, Chiliz’s price has dropped by 8.09% over the past two days. The current price of CHZ is $0.0679, reflecting an intraday decline of 3.12%.
However, the ongoing correction comes as a potential retest of a bullish pattern. During the reversal from $0.058 to the uptrend, Chiliz’s price action formed an inverted head and shoulder. The previous positive cycle from $0.058 to $0.074 accounted for a 27.5% surge.
With the neckline breakout near $0.067, this correction suggests a potential retest phase. Additionally, the long-tail intraday candle indicates a possible post-retest reversal.
Furthermore, the intraday candle finds support at the 20-day EMA (red) and the 38.20% Fibonacci level at $0.06636. Crucial EMAs—50-day, 100-day, and 200-day—remain in bullish alignment, offering multiple dynamic support levels.
However, the sudden drop in the daily RSI from the overbought zone to the midpoint signals a decline in bullish momentum, leaving technical indicators mixed in the short term.
Will Chiliz Hit $0.091?
Based on the Fibonacci levels, an uptrend continuation with a post-retest reversal will rechallenge the 78.60% level at $0.074. A bullish breakout will lead the way to the next swing high at the 1.618 level at $0.091.
On the flip side, the crucial support levels for Chiliz are $0.063 and $0.058.