Since dropping to a 2022 low at $0.93 on March 12, Tezos (XTZ) had been absolutely on burn, gaining 207% and within close distance of its all-time loftier at $3.96. For investors, the only question left now is, when will it terminate?

Crypto market daily performance

Crypto market daily performance. Source: Coin360

Typically such large moves brainstorm to show signs of overextension as the asset becomes overbought and traders eventually decide to take profits. At the moment Tezos appears to be correcting a tad bit as the toll has pulled back 5.69% since reaching a monthly high at $2.xc, but is the uptrend over or is a flow of consolidation beginning?

Allow's take a closer expect at Tezos to meet if in that location are signs that the current uptrend can continue.

BTC USDT daily chart

BTC USDT daily chart. Source: TradingView

Although XTZ has been on a tear in both its BTC and USDT pairs, the altcoin has encountered resistance at the 61.viii% Fibonacci retracement levels just as Bitcoin (BTC) and many other altcoins are at the moment.

As can be seen on the daily chart, XTZ formed a nigh tweezer-top at $2.85 before pulling dorsum below the 61.8% Fib level. The recent movement above $2.58 pushed XTZ price to a higher place the ascending channel merely prior to this each 25%+ move higher was followed past a retest of the underlying support then the current pullback could simply be a repeat of XTZ's previous cost action.

Currently the price is held upward by the loftier volume VPVR node at $2.72, just a drop beneath this level would likely bring the toll to the acme channel of the ascending channel where at that place is support at $ii.59. Below this, traders will look for a bounce at the l% Fib level ($2.44). Below the fifty% Fib level the adjacent support is at $ii.35. The relative strength index has turned down slightly but remains above the ascending trendline and in the bullish zone.

BTC USDT 4-hour chart

BTC USDT 4-hour nautical chart. Source: TradingView

On the four-hour timeframe traders volition notice that the MACD has pulled below the signal line and the high book surges that carried the price to new daily highs accept all only vanished. Currenty XTZ trades beneath the Bollinger Ring moving average and as mentioned before the VPVR once more shows that beneath $2.72 there isn't much demand until $2.35, slightly below the fifty% Fib level.

For the curt-term trader should picket the shorter timeframes to see if XTZ can begin to course a pattern of higher lows and then prepare a 4-hour close above $2.79 and $ii.85. Alternatively, traders can wait for a breakout above $2.92 as the VPVR on the daily and four-hour timeframe prove minimal resistance to a higher place this level.

The views and opinions expressed here are solely those of the autho and practise not necessarily reflect the views of Cointelegraph. Every investment and trading motion involves risk. You should conduct your ain research when making a decision.