Zcash is trading at 466 after loss of major moving averages. Demand block support is in focus with traders looking forward to either a $485 bounce or a $430 decline.
Zcash traded at $466.04 this week. The asset plummeted 1.7 percent and was sitting directly on a horizontal block of demand. This was the area that had supported me more than once during recent weeks.
In the 4-hour chart, Price fell below the EMA9 and the MA50. AlphaCryptoSignals on X reports that ZEC is obviously losing its steam here. The description indicated that the asset had fallen below EMA9 and MA50 on the 4H.
Source: AlphaCryptoSignals
The demand block was still the main focus. Every retouch on this space resulted in fewer bounces. The traders kept an eye on the development of the current test.
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Weakening Bounces Raise Questions About Support Strength
The horizontal support area was spread over the lower part of the chart. ZEC held this level for weeks. Reaction strength, however, decreased with touches.
AlphaCryptoSignals on X pointed out that the bounces are weakening every time. The asset is now firmly stuck directly over that horizontal block of demand. This stand put the 442.53 support level in focus.
The day-to-day range was between 479.80 and 466.04. This slender stream bore the slowly waning impetus. Efforts to rally higher had been limited by resistance at 479.80.
Price structure was kept in a clear relation with the lower limit. The pointers indicated that ZEC was losing short-term strength beneath the two moving averages. This correspondence strengthened the significance of the existing support test.
Bulls Target $485 While Bears Eye $430 Breakdown
An effective hold at the demand zone might create action towards $485-500. This interval is above the short-term resistance of $479.80. AlphaCryptoSignals on X says ZEC must support any form of dead-cat bounce to 485-500.
The description cautioned that the consequence of losing this tier is quite substantial. They said, Lose this level with a clean 4H close, and ZEC probably shoots right into the 430410 pocket with limited friction.
Both scenarios were followed closely by players in the market. The way between support and resistance was narrow. A four-hour close below the demand block that is clean may reveal the $430410 area quickly.
This was the lower range that fell below the formed support at 442.53. In this zone, there was little friction as indicated by the chart. Traders were now placed on either side because ZEC was now testing key levels.
Source: https://www.livebitcoinnews.com/zec-news-zec-slides-toward-critical-support-zone-as-momentum-fades/
