Jaipur (CoinChapter.com) — Given the cryptocurrency market’s bullish resurgence (led by Bitcoin), bulls in the Chiliz market have galvanized its native token CHZ to over its 20-day exponential moving average (EMA). Is it worth buying?
Buying sentiment returns
On the heels of the crypto market’s much-awaited recovery, CHZ has not stayed behind either. Buyers of the world’s first sports token asset capitalized on the rallying momentum yesterday. That led to the cryptocurrency testing the $0.29 price resistance.
With the continuation of the market-wide rally today, the above resistance has now flipped to support. Bulls and bears are at loggerheads now to assert their position on this crucial point. One can see the same from the daily CHZ/USDT chart.
Volume trend shows a concentration of increased buying pressure since last Wednesday. Also, RSI and MACD indicators flipped bullish the very same day. This translates to selling exhaustion and a revival in sporadic buying activity.
That technical resistance
The sentiment has just flipped bullish for the Chiliz token. But a retest of the $0.37 resistance (50-day moving average line) could fully confirm breakout bias. Buyers would at least need to post two subsequent green candles above the 20-day EMA.
Once the price pushes past the 50-day MA, buyers need to keep the momentum on to resistance until the CHZ/USDT token pair hits the $0.43 price level. Once this happens, the coin will be out of the bearish clouds formed after the epic May 19 market crash.
Chiliz fundamentals look good
On the application front, things have never been better for the Chiliz token. The digital asset is finding increased adoption amongst notable sports clubs and personalities. CEO of Chiliz and the associated sports fan engagement app, Socios tweeted a few hours ago about Atlético Mineiro launching the Chiliz Fan Token.
Two days ago, the official Fan token of the Argentinian football club was sold out in just under 2 minutes.
The CHZ token stands to benefit from the cryptocurrency market recovery, which has just begun after a month of range trading. But will it be able to post higher highs, maintain an uptrend and bring smiles on the buyers’ faces? That remains to be seen.