ZRO Technical Analysis Feb 23

ZRO has declined to the $1.57 level with a sharp 8.25% drop in the last 24 hours, testing strong support zones; while bearish momentum continues, a break of the critical barrier around $1.47 could accelerate the downward momentum.

Market Outlook and Current Situation

The dominant downtrend on ZRO’s daily chart has gained speed recently. With the current price positioned at $1.57, the 24-hour trading range stayed within the $1.50 – $1.74 band, and volume dropped to $91.07 million. This decline stands out as a reflection of the general weakness in the altcoin market; ZRO continues to remain below EMA20 ($1.70), strengthening short-term bearish signals. Despite the volatility in recent weeks, the market is under clear selling pressure with multi-timeframe confluence.

The 8.25% loss in the last 24 hours keeps ZRO in the bearish region of the 1D Supertrend indicator, with the resistance level standing out at $2.21. The decrease in volume indicates that buyers have not yet entered, while the overall market sentiment is cautious. In this context, holding local supports is critically important for ZRO to give a recovery signal. You can review detailed spot market data on the ZRO Spot Analysis page to evaluate your current position.

In the general market context, ZRO’s performance is shaped in Bitcoin’s shadow; along with BTC’s 3.43% decline, the correlation in altcoins has also pulled ZRO down. However, the multi-timeframe distribution of 14 strong levels (1D: 3S/1R, 3D: 2S/2R, 1W: 3S/3R) may indicate potential base formation. Investors should develop strategies taking this confluence into account.

Technical Analysis: Levels to Watch

Support Zones

ZRO’s strongest support level stands out at $1.4715 (score: 77/100); this zone shows high confluence on 1D and 1W timeframes, potentially forming a base. If the price approaches here, reaction buying can be expected with a volume increase, as 10-15% rebounds have been observed at similar levels in the past. The second critical support is at $1.1670 (score: 66/100), which will come into play in a deeper correction scenario, and if broken, the intermediate support at $1.3200 (score: 62/100) will stand out.

These support zones are supported by Fibonacci retracements and volume profile analysis; for example, $1.4715 corresponds to the 61.8% Fibonacci level of the recent decline wave. Multi-timeframe data confirms the strength of these levels on the 3D chart as well, making it an area to watch for short-term traders.

Resistance Barriers

The nearest resistance is positioned at $1.6735 (score: 62/100); breaking above here could provide short-term relief, but a trend change looks difficult without a sustained close above EMA20. Higher up, the Supertrend resistance at $2.21 forms a strong barrier, while the bullish target at $2.9771 (low score) carries 90% upside potential if reached.

The strength of the resistances is reinforced by 3R confluence on the 1W timeframe; the price testing these levels could create potential short squeeze opportunities. You can evaluate these resistance tests in leveraged strategies through futures trading on the ZRO Futures Analysis.

Momentum Indicators and Trend Strength

RSI (14) at 43.51 is ranging in the neutral-bearish zone without giving an oversold signal; this indicates that selling pressure may continue, while dropping below 30 increases recovery potential. The MACD indicator confirms bearish momentum with a negative histogram; the MACD line remaining below the signal line reflects the downtrend’s strength. In the EMAs structure, the price being below EMA20 ($1.70) makes the short-term trend negative, while EMA50 and EMA200 act as resistance higher up.

Supertrend gives a bearish signal, while the ADX indicator shows trend strength at a medium level (around 25). Multi-timeframe alignment with 1D bearish, 3D neutral, and 1W slightly bearish weakens the overall picture. These indicators emphasize that ZRO’s momentum requires a volume-supported breakout for recovery; otherwise, the downtrend may remain dominant.

Risk Assessment and Trading Outlook

The risk/reward ratio looks more attractive in bearish scenarios due to the current downtrend; a break of the $1.4715 support could lead to the $1.1670 target, offering 25% downside potential. On the bullish side, a close above $1.6735 is risky but a 40% move toward $2.21 is not impossible. The general outlook is cautious: consolidation if support holds, deep correction if broken.

With high volatility, stop-loss usage is essential; due to BTC correlation, altcoin rallies may remain limited. Traders should adjust position sizes using MTF confluence, as volume weakness can trigger sudden reversals. In the long term, ZRO has fundamental potential, but short-term bearish pressure is dominant.

Bitcoin Correlation

Altcoins like ZRO are highly affected by Bitcoin’s price action; BTC’s current downtrend at $65,624 (24h: -3.43%) is also pulling ZRO down. BTC’s critical supports at $64,009, $62,484, and $60,000 should be monitored; breaks of these levels could accelerate selling in altcoins. On the other hand, recovery above BTC resistances at $65,867, $68,221, and $70,910 could provide relief for ZRO.

While BTC Supertrend gives a bearish signal, rising dominance is pressuring altcoins; given ZRO’s high beta coefficient, if BTC drops below 64k, $1.32 supports could be tested. Investors should prioritize BTC movements and adapt ZRO strategies accordingly.