Date: March 22, 2025
The cryptocurrency market is exhibiting mixed signs of recovery as Ethereum (ETH) has gained 3% over the past week, trading at $1,984—a promising shift after a volatile start to March. As market sentiment gradually improves, altcoins like LayerZero ($ZRO ) are beginning to show signs of a rebound.
LayerZero (ZRO) Experiences Impressive Recovery
LayerZero (ZRO) has faced significant losses in recent months. However, the token has recently posted impressive weekly gains of 56%, signaling the possibility of a solid recovery. The ongoing price action suggests that the recovery is still in its early stages.
ZRO Mirrors the Path of SUI
Crypto analyst CryptoBullet has observed that LayerZero’s (ZRO) recovery pattern resembles that of SUI during its previous cycle. According to the analysis, ZRO entered a corrective phase in early December, following a sharp rejection at $7.56. The downtrend persisted for several weeks, culminating in a bottom at $1.48 on March 11—the lowest point of the correction and the beginning of a fresh upward movement.
Since hitting this low, ZRO has surged over 120%, forming a textbook V-shaped recovery. The recovery structure closely mirrors the price action of SUI, which experienced a similar aggressive bounce from its bottom, followed by a brief consolidation before rallying toward key Fibonacci levels.
Fibonacci Retracement Levels: A Key Indicator
The chart comparison between ZRO and SUI reveals a striking similarity. After SUI's initial recovery, the token experienced a brief pullback to the 0.382 Fibonacci level before continuing its rally toward the 0.618 and ultimately the 1.0 Fibonacci retracement zone. ZRO currently finds itself in a similar position, with its price hovering around $3.15.
It is not uncommon for ZRO to experience a short-term correction toward the 0.382 Fibonacci level, which would serve as a healthy retest of support before the next leg up. If the SUI fractal continues to play out, the next targets for ZRO are the 0.618 Fibonacci level around $4.10, followed by a potential return to the previous high of $7.56. Achieving this target would imply a 140% upside from the current price level—an appealing prospect for traders and investors monitoring this pattern.
Market Sentiment and Future Outlook
As market sentiment shifts toward a more positive outlook and altcoins start to show strength, LayerZero’s (ZRO) recovery pattern mirroring SUI’s could signal further bullish momentum. If history repeats itself, ZRO may be on the brink of a larger rally.
Conclusion
Although no outcomes are ever guaranteed in the cryptocurrency market, the technical structure forming on LayerZero’s chart suggests the potential for additional gains, particularly if the SUI-like fractal continues to guide its path. Traders and investors should pay close attention to key Fibonacci levels as the price action unfolds in the coming days.
