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The prominent fan cryptocurrency Chiliz has been seeing a large attention spike on Twitter and other social media channels as it comes closer to a potential breakout, and there are at least three reasons why it might be successful.
World Cup incoming
Since Chiliz is targeted at a sports audience and positions itself as a fan token on the market, any sport-related event in the world should act as a growth factor for the CHZ token. The FIFA World Cup that begins in November has been considered one of the strongest fuels for the growth of CHZ on the market.
The token itself allows users to participate in the lives of their favorite sports teams in exchange for additional revenue streams for the companies behind them. The rise in the retail trading volume confirms the upcoming surge in volatility that should appear closer to the start of the event.
Technical patterns
The veteran trader Peter Brandt himself noted how CHZ was forming a classical chart pattern, which should become the foundation of a rally after a successful breakout. The 11-month head and shoulders bottom is not something unusual for assets in the reversal process.
The breakout is expected to happen in the upcoming week if CHZ avoids a sudden spike in selling pressure on the market.
Market performance
In the last two weeks, CHZ has been showing one of the strongest performances on the cryptocurrency market and gained more than enough volume and liquidity for a breakout thanks to the fresh inflow of funds.
With more funds coming toward the token, bulls will have greater support while pushing the token upward.
Vladislav Sopov