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ZEC/USD Price Prediction: 04/15/19


At Bittabi, we offer regular price analyses and predictions of the most popular and relevant cryptoassets. In our Apr 11 analysis of Zcash (ZEC), we predicted slight increases. Since then, the price has increased towards the resistance line of the triangle we defined. To learn more, read our latest analysis below:

On Apr 3, 2019 the price of Zcash (ZEC) reached a high of $78. A sharp decrease ensued. It reached similar levels on Apr 8. It has been decreasing since.

Zcash (ZEC): Trends and Highlights for Apr 15, 2019

  • The price of Zcash has been on a gradual uptrend since Mar 26.
  • It is trading inside a symmetrical triangle.
  • There is bearish divergence developing in the RSI.
  • The price is facing resistance from the 100-day moving average.
  • There is support near $64.

Symmetrical Triangle

We analyze the price of ZEC on Binance at six-hour intervals from Mar 26 to Apr 15 in order to trace the current pattern.

The price made a low of $53.60 on Mar 26. A gradual upward move followed. Several market cycles have been completed since and after each one the lows have been higher than the preceding ones.

Tracing these lows gives us an ascending support line:

On Apr 3, the price reached a high of $78. A sharp drop was followed by a gradual increase. The price has made successively lower highs.

Tracing these highs gives us a descending resistance line:

The resistance and support lines combine to create a symmetrical triangle, which is a neutral pattern.

It is likely that the price will keep trading within the confines of this triangle until a decisive move occurs.

In order to figure out the direction of the move, we need to take a look at some technical indicators.

Technical Indicators

The price of ZEC on Binance is analyzed at one-day intervals from Feb 26 to Apr 15 alongside the RSI and the 200-period moving average.
The relative strength index (RSI) is an indicator which calculates the size of the changes in price in order to determine oversold or overbought conditions in the market.
Moving averages are tools used in technical analysis to smooth out price action. It is a lagging indicator since it is based on past prices. The relationship between prices and moving averages can help in identifying the beginning and end of a trend.
The 200-period MA and RSI are shown below:

On Apr 2, the price reached a high of $72.24. It reached another high of $76.99 on Apr 7.

Similarly, the RSI reached a high on Apr 2. However, it has generated lower values since.

This is known as bearish divergence and often precedes price decreases.

Zcash

Furthermore, the price is trading below the 200-day moving average. Hitherto, Zcash has made two unsuccessful attempts at breaking out above it.

The moving average is providing close resistance to the price. Because a breakout is unlikely, price is unlikely to increase. On the contrary, we believe a breakdown from the triangle is likely.

The price might land in the support areas outlined in the next section.

Support Areas

To determine possible future price levels, we incorporate support areas into the analysis.
Support areas are created when the price reaches the same level several times. They can provide likely reversal areas in case a breakdown occurs.
One possible support area is shown below.

The closest support area is found near $64. If the price breaks down from the triangle, it is likely to provide a reversal.

Summary of Analysis

Based on this analysis, the price will likely trade inside the confines of the symmetrical triangle and eventually break down. Prices below $65 appear possible

Do you think the price of ZEC will break down from the triangle? Let us know in the comments below.

If you’d like to learn more about Bitcoin, however, click on the green button below:

 LONG-TERM BITCOIN ANALYSIS

Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.

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Written by Ravi

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