- Chiliz price has rallied because of the strong performance of fan tokens.
- Investors are also anticipating the upcoming World Cup.
- Chiliz is also going through a transition to Chiliz Chain 2.0.
Chiliz price has done well in the past few weeks. CHZ, its token, was trading at $0.26 on Friday, which was the highest level since November 8. It has jumped by over 76% from its lowest level this month, making it one of the best performing cryptocurrencies.
Year-to-date, the coin has dropped by about 20%, which is a spectacular performance considering that Bitcoin and Ethereum have crashed by more than 60%.
Why did CHZ go up?
Chiliz price has done well in the past few months for three main reasons. First, some fan tokens have done modestly well this year. For example, fan tokens like Juventus’s JUV, Paris Saint-Germain’s PSG, and Barcelona’s BAR have risen by more than 10% in the past 24 hours. Others like Alpine and Santos have also risen.
The performance of fan tokens is a positive thing for Chiliz because of its role in the industry. It provides the technology that makes it possible for teams to produce these tokens. Further, it owns Socios, a platform that people use to trade the tokens.
Second, Chiliz price is rising ahead of the upcoming World Cup event in Qatar. World Cup is the biggest football event in the world. It attracts billions of watchers from around the world. Therefore, investors believe that Chiliz and fan tokens will gain traction during the event.
Finally, CHZ price has risen as the platform goes through a period of transition. The new version, known as Chiliz 2.0 or Chiliz Chain 2.0, will radically change how the network works. It will be a layer-1 network for the sports and entertainment industry. Most importantly, it will transition CHZ from being a token into a coin.
Chiliz 2.0 has already gone through its Scoville testnet ahead of the launch of the mainnet that is scheduled for next year. Therefore, CHZ is soaring as investors anticipate the launch.
Chiliz price forecast
The daily chart shows that the CHZ crypto price has been in a strong recovery in the past few days. In this period, the coin has managed to move above the 25-day and 50-day moving averages. The Relative Strength Index (RSI) has moved above the neutral point of 50.
It has also risen above the Ichimoku cloud. A closer look shows that it is nearing the important resistance level at $0.2958, the highest point this month. Therefore, more gains will be confirmed if the coin manages to move above this resistance level. If it happens, the next key level to watch will be at $0.50.
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