One altcoin that is giving a good fight against the Bitcoin (BTC) dominance is Tezos (XTZ). Coinmarketcap.com ranks the delegated proof of stake crypto at the nineteenth position at press time.
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On August 12, the Tezos Foundation announced that camlCase was awarded a grant to support the development of a decentralized exchange protocol on the Tezos blockchain.
Let’s see how the price charts interpret this recent information.
Following a top-down multiple time frame analysis, we identify the significant chart patterns, driving the price of the XTZBTC.
Starting from the higher monthly time frame, the XTZ price formed a long bullish-bar on March 01 ’19, while exiting the crypto winter. Two months down the line, the pair flagged a bearish accumulation pattern on May 01 ’19, following a hanging-man candlestick pattern on April 01 ’19.
Bitcoin investors took control of the market after these patterns, resulting in a 65.2% from the hanging-man pattern and 54.5% from the bearish accumulation pattern.
Taking a step lower to the weekly time frame reveals the price buildup that led to the exit of the crypto winter of 2018, with timely entry into a long position on XTZ.
While trading in the oversold area for about thirteen weeks as shown on the chart above, the XTZBTC broke out of bearish accumulation resistance on February 11 ’19, a first since the crypto winter. Finally, exiting the oversold area on March 11 ’19, the XTZ price appreciated against the BTC by roughly 125%.
A bearish inside-bar candlestick pattern on April 01 ’19 showed early signs of exhaustion for the bulls and finally confirmed by a bearish accumulation pattern on April 29 ’19. The XTZBTC price dropped by 54.70% from the breakdown level before signaling a regular bullish divergence pattern on July 22 ’19.
At publication time, the XTZBTC is in a double bearish accumulation formation, and the price may even drop further south. However, a breach of the 0.00012255 resistance should suffice for a bullish rally.
An overview from the mid-term daily time frame started with the XTZBTC making a 21.5% correction on July 06 after increasing by roughly 37.5% from the bullish accumulation on June 30 ’19.
A breakout of hidden bearish accumulation on July 21 resumed the bullish trend for another 39.14%. Sellers took charge of the market on August 05 by breaking below bullish accumulation support and entering a downward slope of about 16%.
Last, a view from the 4-hour time frame shows the XTZBTC, first coming out of the oversold area on August 22; However, the bulls could not sustain the move, and the price resumed a gentle bearish slope.
At press time, the significant chart pattern is the regular bullish divergence, where the pair appears to come out of the oversold zone again. If the 0.00010419 support holds, then we should look forward to a further increase in the XTZBTC. A breach of the local low may spark further price decline to show an increase in Bitcoin BTC dominance.
Referring to the weekly time frame, the Bitcoin BTC dominance has been on the rise for the last four weeks after the bearish inside-bar price pattern on August 05 ’19. The pair is in a bearish trend; However, a weekly bar close above the 0.00012255 resistance may imply a sentiment switch from bearish to bullish.
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