XTZ Technical Analysis: Resistance Confluence Increases Friction

XTZ prices give a double bottom breakout but the psychological barrier of $2 and the descending resistance trendline challenges a prolonged uptrend? Key technical points: XTZ price challenges the $2 sellers. The Stochastic RSI shows an extended bull run in the overbought territory. The 24-hour trading volume of Tezos is $86 million, indicating a rise of 18%. Past Performance of XTZ The XTZ/USD technical chart shows an uncontrollable bearish trend after the breakout of the $3 mark. However, the crucial support level of $1.66 helped sustain the downfall and end the downtrend with a double bottom pattern forming during the consolidation at the demand zone. Source-Tradingview XTZ Technical Analysis The overnight surge in buying pressure inflates the XTZ price by 5.53% with a bullish engulfing candlestick and breaks the neckline at $1.90. Hence, the neckline breakout illuminates a buying spot and increases the number of breakout traders going long. The long-term downtrend of the last few months has led the EMAs to achieve an inverse alignment with the 50 EMA, which provided the dynamic resistance. As the slow uptrend finally gains momentum, the RSI rises within the nearly oversold zone line to approach the midline. Additionally, the increase in the underlying bullishness helps the RSI surpass the 14-day SMA line, increasing the probability of a prolonged uptrend. The Stochastic indicator shows the K and D lines avoiding multiple cr...