Zcash (ZEC) Technical Analysis & Prediction - 6/27/2017
The recent pullback has given an opportunity for investors to buy good coins at a fraction of the price. I think Zcash right now is a HUGE buy, especially since it will be usable on AlphaBay starting July 1. When Monero was added to AlphaBay, its market cap increased by over 100 Million within weeks (it was at only 25 million before).
Zcash is a zero knowledge proof system, and a competitor to big name coins like Eth and LTC. The current market cap is ~ 460 Million and its price is .125 BTC. I think the market cap will be over 600 million by the end of July.
Zcash recently had a breakout, and I am expecting it to be similar to the previous breakout. The first breakout went to a new high, then pulled back between the .618 and .786 fib level. This is a healthy pullback.
The most recent breakout did the same exact thing. I am calling a breakout and new ATH within the next 2 weeks. It also has a 1.98 risk-reward ratio - very good!
OVERVIEW
Buy point - .12-.125
Stop Loss - .105
Risk-Reward Ratio - 1.98
Hey spiz, thanks for the great post. It would be of great help if you coul explain what is implied here by risk/reward ratio and how you computed it in this analysis. Cheers
Yes of course! Risk/reward ratio is extremely important. This is the ratio of money you are willing to risk for the expected return. Investors consider a risk/reward ratio of 2.0 to be very good. As you can see from the chart, this ratio is given by the amount you would gain or lose using my buy order and stop loss. If you buy at the suggested price and it goes back to the previous high, you would make 2x what you would lose if the stop order is triggered. I hope that clears things up!
To get that exact return you mentioned you'd also in theory need a sell order at some level though right?
FYI if you open the image in a new tab you will be able to read all the numbers and words much more easily.
Great post! Thanks.
Great analysis keep em going.
One other thing going for zcash is the fact that it can be mined with a good profitability. I'm mining zec since a couple of months and it never failed me.
I agree! Zcash is on the rise & I see it having a 1-1.5 billion market cap by end of year. Zero knowledge proof system is great, and Zcash is scalable.
If the AlphaBay implementation goes well and transaction speed is good, this will be on a uptrend for awhile :)
Thanks for your article and making us aware of the upcoming ZEC news. I have a couple questions:
What is your opinion on why ZEC dropped so considerably in the week or two preceding the graph that you posted? Do you know why it happened and do you think that might affect the potential of where the price is going in the short term future?
Do you usually only make predictions based on the last 4 days without taking into account 1w or 1m charts?
The recent price drop was just a market crash, everything was down. I take into consideration long term, however I feel these cryptos trade a lot more based on short term.
I see Zcash as being very bearish please refer to my post on 26th June 2017 and subsequent update today @supertrader