beincrypto.com
Tezos’s ($XTZ) price could reclaim some of the losses witnessed in the last couple of days; however, this would warrant a change in investors’ behavior.
Their sentiment would need to shift from bearish to bullish to support a recovery rally.
Tezos’ Investors Send Mixed Signals
$XTZ price has a shot at climbing back the charts since the investors are slowly increasing the capital invested in the asset. The Chaikin Money Flow (CMF) indicator shows a significant surge in Tezos’ inflows. This is a positive sign, indicating an increase in buying pressure for the cryptocurrency.
This uptick in CMF suggests that more investors could be moving to accumulate $XTZ. Increased buying pressure often correlates with upward price movement, reflecting growing confidence in the asset.
However, Tezos’s funding rate fluctuates between positive and negative territory. This volatility points to a lack of consensus among investors about the short-term direction of the market.
Positive funding rates generally hint at long contracts dominating the market, whereas negative rates suggest short contracts are leading. In the case of $XTZ, though, this volatility in the funding rate points to a lack of consensus among investors about the short-term direction of the market.
Read More: What Is Tezos ($XTZ)?
This could result in sideways movement in $XTZ price.
$XTZ Price Prediction: Recovery From Lows
The $XTZ price is currently at a seven-month low of $0.79, bouncing back from $0.76. The altcoin fell below $0.70 during this week, touching $0.68. While the altcoin has bounced back, it may not see a rally anytime soon.
The mixed signals from investors point towards a period of consolidation for Tezos. $XTZ could thus remain constricted within $0.76 and $0.87.
Read More: Tezos ($XTZ) Price Prediction 2024/2025/2030
A breakout or breakdown would invalidate the bullish-neutral thesis, sending the $XTZ price rallying or falling. The targets for the former condition are $0.94, while for the other, they are $0.60.