Chiliz price has made a strong recovery in the past few weeks. Its CHZ token rallied to a high of $0.245, which was the highest level since October 1. At its peak, the coin was up by more than 51% from its lowest level during the month. Chiliz was trading at 0.23 on Monday morning as key fan tokens like Porto and Lazio jumped by over 20%.
2 reasons why CHZ is rallying
There are two main reasons why Chiliz price has been in a strong bullish trend recently. First, it is because of the strong performance of fan tokens recently. According to FanMarketCap, the total market value of the industry has risen to almost $400 million. This rally has been helped by key fan tokens like Santos, Lazio, Porto, and Portugal National Team among others. Additional data shows that the volume of fan tokens being traded rose sharply in October.
Chiliz price also rose because of the upcoming Chiliz 2.0 upgrade. The upgrade will make Chiliz a better platform for developers to launch their entertainment applications. It will have gas fees that are about 200x cheaper than Ethereum and a faster transaction processing time.
Chiliz 2.0 will embrace a new approach known as Proof-of-Stake Authority (PoSA). In October, they launched the Scoville testnet ahead of the upgrade that will happen soon.
Chiliz price rose after the developer launched a revamped version of the Chiliz Exchange. The upgrade added new fan token logos to ChilizX web.
Chiliz price prediction
The four-hour chart shows that the CHZ price has been in a strong bullish trend in the past few weeks. In this period, the coin has managed to move above all moving averages and the important resistance level at $0.2257, which was the highest level on October 5. Chiliz has seen its Relative Strength Index (RSI) move to the overbought level.
Therefore, the path of the least resistance is upwards, with the next reference level being at $0.2816. This price was the highest level on September 23 and is about 21% above the current level. A drop below the support level at $0.2257 will invalidate the bullish view.