Tezos crypto surges 40%, breaks 8-month resistance with THIS move

• XTZ is the biggest gainer in the last 24 hours.
• It is facing a decline but maintains the $1 price level.

In recent days, Tezos crypto [XTZ] has joined the ranks of digital assets experiencing significant price surges. Over the past 24 hours, Tezos has spiked by more than 40%, marking its first substantial gain in months and breaking through a key price level.

Tezos crypto surges past eight-month resistance

Tezos crypto wastrading at $1.14 at press time, slightly retreating from an intraday high of $1.24. This price level represents an eight-month high for XTZ.

The rally was triggered by a breakout above the 200-day Simple Moving Average (SMA) at $0.75, signaling renewed bullish momentum.

The RSI (Relative Strength Index) stands at 77.15, signaling overbought conditions that may prompt short-term profit-taking. Despite this, the MACD (Moving Average Convergence Divergence) histogram remains bullish, suggesting sustained upward momentum in the medium term.

Source: TradingView

Using Fibonacci retracement levels, resistance is evident around the 4.236 Fib level at $1.15, which Tezos has struggled to break convincingly. Support appears near the 2.618 Fib level at $0.93, providing a potential cushion for consolidation.

The Parabolic SAR also confirms the bullish trend, with indicators below the price action. The sharp increase in volume underscores growing investor interest, but maintaining this trend will depend on clearing resistance barriers.

Trading volume spikes alongside price rally

Tezos crypto’s trading volume has mirrored its price surge, breaking notable records. Data from Santiment reveals that XTZ’s volume rose from approximately $60 million to over $500 million by the close of trading on November 18.

As of this writing, the trading volume has exceeded $870 million, marking the highest level since 2021.

Source: Santiment

This substantial increase in volume signals heightened market activity and growing interest, reinforcing the bullish sentiment surrounding Tezos crypto.

Potential targets and risks for Tezos crypto

If bullish momentum continues, Tezos could target resistance at $1.30, followed by $1.50, provided there is sufficient buying pressure. However, failure to sustain support at $0.93 may trigger a retracement, with the 200-day SMA at $0.75 serving as the next critical level.

A breach below this level could shift control back to bears, with $0.60 becoming a key focus.

The overbought RSI highlights the risk of short-term selling pressure, while potential MACD divergence could indicate weakening bullish momentum. 

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For sustained growth, volume levels must remain consistent; any drop could signal market exhaustion.

Tezos crypto stands at a pivotal juncture. Its ability to maintain bullish momentum or consolidate gains will depend on market sentiment, external factors, and the balance of supply and demand. Traders should remain vigilant for signals of the next big move.