Zilliqa's partnership with Google Cloud has been a significant development, though its impact on ZIL's market performance has been mixed. Announced on September 13, 2023, the collaboration involved Google Cloud operating a node on the Zilliqa blockchain. While the price of ZIL has seen some upward movement since then, it generally underperformed compared to the broader cryptocurrency market throughout last year.
As of November 27, 2024, ZIL was trading at approximately $0.02435. This article explores what Zilliqa is, how it works, and provides a detailed price prediction based on technical analysis and market indicators as of late November 2024.
What Is Zilliqa (ZIL)?
Zilliqa is a blockchain platform designed to address scalability challenges through sharding technology. Founded in 2017 by researchers from the National University of Singapore, Zilliqa aims to enable high-throughput transaction processing by dividing the network into smaller consensus groups called shards. Its native cryptocurrency, ZIL, is used to pay for transactions, execute smart contracts, and participate in network governance.
Technical Analysis and Price Prediction
Wave Count Methodology
Using the wave count method, analysts observed that ZIL completed a five-wave decline since January 2021, with the downward movement ending in August 2024. If this count holds, ZIL could be entering an A-B-C corrective structure in response to the previous decline.
If the correction mirrors the length of the downward movement, ZIL may continue its upward trajectory until November 2027. The correction could conclude at the 0.618 Fibonacci retracement resistance level of $0.1609.
Based on this model, the projected price targets for ZIL are:
- End of 2025: $0.0470
- End of 2026: $0.0860
Another approach using the daily rate of increase over the past four years projects a more conservative target of $0.0390 by the end of 2030.
Range Projections
The wave count method provides a target range of $0.0688 to $0.1032 for the end of 2025. An alternative calculation suggests a range between $0.0376 and $0.0564 for the same period. Using the historical daily rate of increase, the projected range for late 2025 is $0.0320 to $0.0480.
Recent Price Action and Market Behavior
The weekly chart for ZIL shows a breakdown from long-term horizontal support at $0.0163 in August 2024, followed by a drop to $0.0107—the lowest price since 2020. However, ZIL quickly reclaimed the horizontal support area, validating it and turning the entire downward movement into a deviation.
In November 2024, ZIL began an upward trend, forming three successive bullish candlesticks and gaining over 90% during this period. The coin reached a high of $0.0266 and is currently trading within a long-term range of $0.00163 to $0.00340. The range high sits approximately 40% above the current price.
Technical indicators are bullish. Both the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) showed bullish divergences before the upward movement and continue to rise. The RSI is above 50, and the MACD is above zero, suggesting positive momentum.
Short-Term Price Prediction
The short-term outlook for ZIL is bullish. If ZIL breaks out from the middle of its current range, it will likely advance toward the range high of $0.0034.
Market Indicators and Metrics
Average True Range (ATR)
The Average True Range (ATR) measures market volatility. On November 27, 2024, Zilliqa’s ATR was 0.0037, indicating average volatility levels.
Relative Strength Index (RSI)
The RSI helps determine whether an asset is overbought or oversold. On November 27, 2024, ZIL's RSI was 62, indicating bullish conditions without extreme overvaluation.
Market Cap to TVL Ratio
The Total Value Locked (TVL) to market cap ratio assesses the valuation of decentralized finance (DeFi) projects. A ratio above 1.0 suggests overvaluation. On November 27, 2024, Zilliqa’s TVL ratio was 196, indicating severe overvaluation relative to the value of assets locked in its smart contracts.
CCN Strength Index
The CCN Strength Index evaluates cryptocurrency strength over the last 30 days, scoring assets from 0 to 100. On November 27, 2024, Zilliqa scored 73.2, indicating strong momentum and a potential trend shift.
Zilliqa Price Performance Comparisons
As a proof-of-work (PoW) blockchain, Zilliqa can be compared to other similar projects:
| Asset | Current Price | Price One Year Ago | Change |
|---|---|---|---|
| ZIL | $0.02435 | $0.02131 | +14.2% |
| BCH | $500.35 | $228.85 | +118% |
| LTC | $95.65 | $70.46 | +35.7% |
| KAS | $0.15 | $0.1326 | +13.1% |
ZIL Price History
Understanding ZIL's past performance provides context for future predictions. Below are key price points from its history:
| Time Period | ZIL Price |
|---|---|
| Last Week (Nov. 20, 2024) | $0.0208 |
| Last Month (Oct. 27, 2024) | $0.01438 |
| Three Months Ago (Aug. 27, 2024) | $0.01477 |
| One Year Ago (Nov. 27, 2023) | $0.02131 |
| Five Years Ago (Nov. 27, 2019) | $0.00526 |
| Launch Price (Jan. 26, 2018) | $0.1356 |
| All-Time High (May 6, 2021) | $0.2563 |
| All-Time Low (March 13, 2020) | $0.002477 |
Market Capitalization
As of November 27, 2024, Zilliqa’s market cap was $467 million, ranking it as the 157th-largest cryptocurrency by this metric.
Wallet Distribution and Supply
On November 27, 2024, one wallet held more than 10% of the total ZIL supply. The top five wallets were:
- 0x2407b9b9662d970ece2224a0403d3b15c7e4d1fe: 49,692,242 ZIL (10.76% of supply)
- 0x86523c87c8ec98c7539e2c58cd813ee9d1a08d96: 14,506,173 ZIL (3.14% of supply)
- 0x0639556f03714a74a5feeaf5736a4a64ff70d206: 10,142,389 ZIL (2.2% of supply)
- 0x18b49867e16744a1e55a7c949f858f3fb0bdfffd: 10,000,415 ZIL (2.17% of supply)
- 0xb640cfaa683e58109d7af51b5dc16ce07674d405: 9,199,102 ZIL (1.99% of supply)
Supply Metrics
- Total Supply: 19,893,844,894 ZIL
- Circulating Supply (Nov. 27, 2024): 19,207,889,468 ZIL (96.55% of total supply)
- Holder Distribution: Top 10 holders owned 28.3% of the supply
How Zilliqa Works
Zilliqa combines proof-of-work (PoW) and practical Byzantine fault tolerance (PBFT) consensus mechanisms. PoW provides security, while PBFT enables faster shard consensus, fair miner rewards, and reduced energy consumption. Zilliqa was the first public blockchain to implement sharding, allowing parallel transaction processing across multiple consensus groups.
ZIL is used to pay for transactions, run smart contracts, and trade on exchanges. 👉 Explore more strategies for analyzing cryptocurrency trends
Is Zilliqa a Good Investment?
The partnership with Google Cloud demonstrates Zilliqa's ambition and potential for growth. However, ZIL has underperformed relative to the broader market recently. As with any cryptocurrency investment, thorough research and risk assessment are essential.
Potential Risks and Rewards
While technical indicators suggest bullish momentum, the TVL ratio indicates overvaluation. Investors should consider both factors before making decisions.
Frequently Asked Questions
How many Zilliqa coins are there?
As of November 27, 2024, there were approximately 19.2 billion ZIL in circulation, with a total supply of 19.8 billion.
Will Zilliqa reach $0.10?
Price projections suggest ZIL could potentially exceed $0.10 by 2026. However, it hasn't traded above this level since April 2022.
What is Zilliqa used for?
ZIL is used to pay for transactions on the Zilliqa blockchain, execute smart contracts, and trade on cryptocurrency exchanges. 👉 View real-time tools for tracking market data
How does sharding improve Zilliqa’s performance?
Sharding divides the network into smaller groups that process transactions in parallel, significantly increasing throughput and reducing latency.
What impact did the Google Cloud partnership have?
The partnership enhanced Zilliqa’s infrastructure credibility but had a limited immediate impact on price performance.
Is Zilliqa environmentally friendly?
By combining PoW with PBFT, Zilliqa aims to reduce energy consumption compared to traditional PoW blockchains.