The post Why Is Chiliz (CHZ) Price Up Today? CHZ Jumps Nearly 20% appeared first on Coinpedia Fintech News
Chiliz (CHZ), the native token of the Chiliz Chain built for sports and entertainment, jumped 20% today to trade around $0.045. While much of the crypto market is still struggling to recover, CHZ is moving in the opposite direction.
So, what’s driving this sudden surge?
New Chiliz Protocol Boosts Demand for CHZ
Chiliz, best known for powering fan tokens used by major football clubs and sports brands, has launched the Decentral Protocol on the Chiliz Chain. This new system allows football clubs to tokenize future media and broadcasting revenues and use them as collateral to access stablecoin loans.
To support this, a $1 million USDC liquidity pool has gone live, offering investors around 12% APY. This setup directly increases demand for CHZ, as the token is required to pay transaction fees on the Chiliz network.
Trading Volume Spike Signals Fresh Buying
CHZ also saw a massive jump in trading activity over the last 24 hours. Trading volume surged by 153%, reaching nearly $175.48 million. This kind of sharp volume increase usually shows that new buyers are entering the market, not just slow price movement.
As global sports leagues prepare for upcoming seasons and events, traders are once again rotating into sports-related crypto tokens like CHZ.
Short Liquidations Add Fuel to the Rally
Another reason behind CHZ’s sharp rise is short liquidations. Coinglass data show that traders betting against CHZ lost around $287,000, as the price moved up faster than expected.
In total, $376,000 worth of CHZ positions were liquidated in the past 24 hours, with nearly 70% coming from short traders.
As these positions were forced to close, extra buying kicked in, helping CHZ climb even faster in a short time.
Chiliz Chart Signals More Upside Ahead
After months of slow movement, Chiliz (CHZ) has finally broken out of a long downtrend. The chart now shows growing buying strength, with momentum improving steadily.
Well-known trader Captain Faibik points out that CHZ is testing a key breakout area. The first resistance lies between $0.048 and $0.050. If the price breaks above this zone and holds, CHZ could move much higher.
In that case, the next major target is near $0.082, which would mean almost a 95% upside from current levels.
