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Zcash slides more than 4% toward $500 as bearish patterns surface
The move has put ZEC below its 20-, 50-, and 100-period EMAs, with the next support highlighted near the 200-period EMA around $496.
Zcash (ZEC) extended its decline on Wednesday, falling by more than 4% to about $510, according to Yahoo Finance. The drop leaves ZEC down roughly 15% from a local high near $590 set a week earlier.
The article says the selloff is putting a prior bullish cup-and-handle breakout thesis at risk by instead validating multiple bearish reversal patterns. It points to a break below the lower trendline of a symmetrical triangle near $535 to $538, which it says implies downside targets under the key $500 support level.
A measured downside target for the triangle is cited around $480 to $485, which would mean an additional decline of about 5% to 6% from current levels. The piece also notes ZEC has slipped below its 20-, 50-, and 100-period exponential moving averages, creating a nearby resistance zone between roughly $518 and $539.
For the next potential inflection point, the article highlights the 200-period EMA near $496 as emerging support. It adds that the four-hour relative strength index has fallen to about 32, just above the oversold threshold of 30, which could support a short-term relief bounce or a retest of the broken triangle support.