Disclaimer: The conclusions of the following analysis are the sole opinions of the author and should not be taken as investment advice.
Chiliz’s [CHZ] the recovery from the $0.08 baseline orchestrated a bullish rally, which propelled the coin past the bonds of its 20/50/200 EMA. While securing a spot above these hurdles, CHZ marked an expected breakout of its uptrend on the daily chart.
With the north-facing 50 EMA (cyan) sliding above the 200 EMA (green), buyers may be looking to accelerate their advantage in the time ahead.
But general market sentiment seemed to deteriorate. Thus, buyers should look for the entry triggers described below before making calls.
At press time, CHZ was trading at $0.2365, down 2.06% in the past 24 hours.
CHZ Daily Chart
The bulls have found enough firepower to impose a consistent series of higher peaks and troughs over the past few weeks. The rally from the $0.08 level resulted in a staggering 215% ROI until CHZ hit a four-month high on August 23rd.
The decline from this level has traced a classic descending channel over this time frame. The resulting breakout positioned the coin for a short-term upside.
A convincing close above the $0.23-$0.24 range could help the alt to retest the range from $0.263 to $0.28 in future sessions. But a reversal below the $0.23 region could hamper the bullish advance.
Meanwhile, the golden cross on the 50 EMA (cyan) with the 200 EMA can establish a solid foundation for the long-term growth of the altcoin. Additionally, the short-term retracements would continue to find rebound grounds in the $0.19-$0.2 range.
The Relative Strength Index (RSI) took a bullish position while eventually breaching the 59 support. Continued swing above this threshold would help buyers find cooler highs on the chart.
Moreover, the Volume Oscillator (VO) marked higher peaks during recent gains. This reading hinted at a relatively strong bullish move over the past few days.
Finally, the EMD the lines showed bullish tilts but the ADX struggled to assert a strong directional trend.
Given the breakout of the descending channel alongside the golden cross of the 50/200 EMA, buyers may be aiming for more in the coming sessions.
A close below the 20 EMA could invalidate buying inclinations. The potential targets would remain the same as above.
Finally, traders/investors need to closely monitor Bitcoin’s movement and its effects on the broader market to make a profitable move.