Chiliz (CHZ) has made solid gains recently.
Data from CoinMarketCap showed that the sports channel’s native token was up 16.7% in 24 hours and 25.6% in a week. The strong bullish momentum led to an increase in open interest.
Speculative traders sought to take advantage of this momentum and OI soared 66% in the last 24 hours. Data from Coinalyze showed that Open Interest almost tripled from $12 million to $33 million since December 19.
In an article on X, popular trader Johnny Woo showed that Chiliz exhibited a buy signal over a 3-day time frame. Will the FIFA World Cup be a catalyst strong enough to challenge a months-long resistance zone?
CHZ bulls attempt to break $0.05 resistance
Source: CHZ/USDT on TradingView
The one-day time frame showed a bullish structure for CHZ. The change occurred on December 9 and another structure breakout occurred on the 19th of the month, which shifted the local resistance of $0.34 towards support.
Since testing the low at $0.28, Chiliz has risen by a remarkable 56% in 13 days. OBV has also increased over the past month, reflecting increased buying pressure.
The bullish crossover of the moving averages also indicates a change in trend. It remains to be seen whether momentum and demand can sustain a bullish charge above $0.05.
Should traders prepare to buy the breakout?
From a technical analysis perspective, yes, it appears to be the case. The surge in volume and structure breaks were compelling, and momentum was on the side of the CHZ bulls.
The broader market context made this rally worrying. Bitcoin (BTC) remained stuck below the $90,000 resistance and fear permeated the crypto markets. CHZ bulls have taken this route several times in 2025.
Each time, the path ended with a rejection of the $0.05 supply zone and a gradual reversal of the gains made.
Trader Call to Action – Expect More of the Same
Until a bullish breakout beyond the $0.050-$0.051 zone is observed, remain bearish. A weekly close above $0.051 would go a long way toward assuaging these bearish doubts, but it’s better to be cautious than chasing a rally that turns into a reversal.
Traders can look for bearish reversal signals as Chiliz token prices approach the $0.05 level. It can be risky to be short, as consolidation below resistance is a possibility.
Final Thoughts
- Chiliz’s rally was nearing a key resistance zone where already long traders can look to take profits.
- Bulls looking to buy CHZ could wait for a weekly close above $0.051 for confirmation before entering.
Disclaimer: The information presented does not constitute financial, investment, business or other advice and represents the opinion of the author only.
