The Zilliqa peice has risen in the past four consecutive days as the overall sentiment in the cryptocurrency industry improves. ZIL has jumped to $0.0840, which is about 40% above the lowest level last week. The coin’s market capitalization has jumped to more than $969 million, which is about 67% below its all-time high.
The background. Zilliqa is a relatively popular blockchain project that helps developers build decentralized applications in the DeFi and Non-Fungible Tokens (NFT) industry. This is enabled by the Smart Contract Intermediate-Level Language (Scilla). This is a smart contract technology that is rooted in science and has a mathematical proof of safety.
A few months ago, the Zilliqa price jumped as investors started seeing it as a viable Ethereum-killer. However, the ecosystem has struggled with relatively low usage. Only a small number of projects are built using the Zilliqa network. Instead, developers have remained loyal to Ethereum. Others have embraced other products like Solana, Binance Chain, and Polkadot. This is probably the main reason why the coin has dropped sharply. The other reason is that other altcoins have also declined sharply recently. So, what next for ZIL prices?
Zilliqa price prediction
The daily chart shows that the Zilliqa price has been in a deep dive recently. That has seen its price drop below the 50,100, and 200-day exponential moving averages. Worse, the coin has formed a death cross, which happens when the 200-day and 50-day exponential moving averages (EMA) make a crossover. Notably, the current rebound happened after the coin dropped to the 78.6% Fibonacci retracement level.
Therefore, it is relatively safe to say that the coin has not made a recovery for now. The recovery will be confirmed when the price manages to move above the 50-day and 100-day moving averages.
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ZIL price chart
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