CHZ Technical Analysis Feb 6

CHZ is positioned at a critical juncture at the $0.04 level; it has squeezed into the $0.03-$0.04 range with a 14% drop in the last 24 hours and RSI 35 is approaching the oversold region. While buyer accumulation is expected at nearby supports, a resistance breakout could trigger upward momentum.

Current Price Position and Critical Levels

CHZ price is balanced at the $0.04 level within a sideways trend in the overall market structure. On the daily chart, it’s trading below EMA20 ($0.05), confirming short-term bearish bias. The Supertrend indicator is giving a bearish signal and volume at $121.83M supports the decline. In multi-timeframe (MTF) analysis, a total of 15 strong levels were identified across 1D, 3D, and 1W timeframes: 4 supports/3 resistances on 1D, 2S/2R on 3D, 4S/3R confluences on 1W. Price is squeezed in a narrow band between $0.0334-$0.0410; a breakout from here will be direction-determining. Historically, this range has functioned as a liquidity collection zone since the October 2025 lows, tested with high-volume rejections.

Support Levels: Buyer Pools

Primary Support

$0.0334 (Strength Score: 64/100) – This level stands out as the nearest and most critical buyer zone. Reasons: It forms a strong demand zone and order block on the 1D timeframe; tested 4 times in the last 3 months and rejected with aggressive buying volume (average 20% bounce). MTF confluence: Fully aligns with 3D EMA50, and on 1W it’s the Fibonacci 0.618 retracement level. Volume profile is high, with liquidity pooling here – big players are targeting this level for stop hunts. In case of breakdown (invalidation below $0.0325), downward momentum accelerates.

Secondary Support and Stop Levels

$0.0302 (65/100) – Secondary support at the lower end of 1W supply/demand balance. Historical test: November 2025 low level, showed strong rejection with 30% recovery. Confluence: 1D pivot low + 3D volume profile POC (Point of Control). Monitor below $0.0295 as a stop level; this is ideal for liquidity grabs.
$0.0266 (61/100) – Deep support, 1W order block and upper boundary of the psychological $0.025-0.03 range. Confluence from early 2025 major lows, tested with low RSI oversold bounces. Invalidation at $0.0250; opens path to downside target $0.0033, but low probability (R/R 1:10).

Resistance Levels: Seller Pools

Near-Term Resistances

$0.0410 (82/100) – Strongest near-term resistance, just above current price. Importance: 1D supply zone, rejected 3 times in the last 2 weeks (high sell volume). MTF: Confluence with EMA20 and 3D Fibonacci 0.5, requires 5% volume increase for breakout. Breakout confirmed above $0.0425.

Main Resistance and Targets

$0.0455 (69/100) – Medium-term resistance, 1W trendline and order block. Historical: Caused 15% drop as intermediate resistance during January 2026 rally. Confluence: Near Supertrend resistance at $0.05, volume spike expected.
$0.0499 (66/100) – Main target resistance, 1D/1W EMA200 confluence. Breakout carries upside to $0.0746 (22 score), but BTC-dependent. Invalidation below with $0.0400 breakdown.

Liquidity Map and Big Players

Big players (smart money) are targeting liquidity pools (stop-loss clusters) at supports: High short squeeze potential below $0.0334, long liquidity collected above $0.0410. Order flow: Equal highs/lows formed around $0.04 during recent drop, creating imbalance and setting up sweeps. On 1W, premium/discount imbalances point to fakeouts below $0.03. Volume analysis: Declining volume increasing, but divergence seen on support tests – buyers accumulating. Liquidity map shows major pool between $0.0266-$0.0302; this is key for major reversal.

Bitcoin Correlation

CHZ is highly correlated with BTC (0.85); BTC at $64,264 in downtrend with Supertrend bearish. If BTC supports at $60,000 / $45,967 break, CHZ tests $0.0334 – high altcoin bleed-out risk. If BTC breaks $62,876 resistance, CHZ could relief rally to $0.0410. Dominance increase (BTC bearish caution) pressures CHZ below $0.03; monitor BTC to major support at $38,641.

Trading Plan and Level-Based Strategy

Level-based outlook: Above $0.0410 bullish (target $0.0455-$0.0499, R/R 1:3); below $0.0334 bearish (target $0.0302-$0.0266, R/R 1:4). For spot, check CHZ Spot Analysis, for futures CHZ Futures Analysis. Strategy: Long from supports (stop $0.0325), short from resistances (stop $0.0425). Risk: 1-2% per trade, MTF confirmation required. This outlook is price action-based; markets are variable.