Zilliqa (ZIL) Overview
Introduced in 2017, Zilliqa (ZIL) is centered around the idea of ‘Sharding’ and was designed to enhance the scalability of cryptocurrency networks such as Ethereum . Sharding is analogous to the concept of ‘divide and conquer’, where transactions are divided into smaller groups for miners to perform parallel transactional verification. The upshot of this is the ability to reach consensus more quickly, which would increase the number of transactions in a given period. According to the white paper, transactions speed could scale to approximately 1000x that of Ethereum’s network. Zilliqa’s high throughput means that developers can focus on fleshing out their ideas rather than worrying about network congestion.
Zilliqa ( ZILBTC ) Chart Analysis
We believe that Zilliqa ( ZILBTC ) will be moving really soon…
- First, we have a double bottom, which is hard to see on the chart above but ZILBTC hit the same low at 0.00000132 on the 28th June and the 4th of July, normally this is a bullish pattern.
- We can also see the bullish divergence on the MACD and RSI, purple arrows. Notice how the price is going down while the indicators are moving up. This is a very strong and accurate signal but it doesn’t always play out, it can be invalidated.
- This double bottom pattern also happens to be a new all-time low on Binance for ZILBTC, making this a retest of the low… Probabilities are high for a move to the upside here.
- Let’s proceed to check the trade details…
Zilliqa ( ZILBTC ) Full Trade
Buy-in: 0.00000101 – 0.00000120
Profits potential: 305%
(Buy-in calculated at 0.00000111)
Stop-loss: Close weekly below 0.00000100.
Capital allocation: <10%.
1- Do not invest in every ICO – most of them are a scam.
2- Crypto is a heavily manipulated commodity and the price can change at any moment.
3- The creation cost of a coin represents the “wholesale” price – It is always better to buy when the price is close to the creation cost.
4- Crypto has a natural cash flow that dictates the selling pressure. Like, 1800 bitcoins are mine each day so 1800 bitcoin must be bought at the current price (“means market needs new $18 millions of investment every day if the price is $10,000 to maintain the current price“).
5- Patience and timing are key to making a profit:
Buy, when the price is close to the creation cost.
Sell, when the price is way high off the creation cost.