- What is Horizen? A beginners guide to its historical price and how it works.
- How encrypted messages and content are expanding Horizen’s privacy
Horizen is a distinctive blockchain platform that integrates a unique tech structure, monetary economics akin to Bitcoin, and robust infrastructure incentives within a network of interconnected decentralized applications (DApps). Its primary focus lies in being a privacy-conserving financial network, aiming to serve as a blockchain platform for private and confidential communications. Additionally, it seeks to act as a decentralized property management platform.
The launch of Horizen dates back to May 2017, and it operates with its own native token called ZEN. Currently, there are 13 million ZEN coins in circulation, with a maximum supply capped at 21 million ZEN coins.
How Does Horizon Work?
The Horizen network works on two core technical layers:
- Mainchain: The mainchain, also referred to as the main blockchain, serves as the foundational layer for a straightforward person-to-person digital currency protocol. It acts as a secure and robust base layer, facilitating the basic functions of the network.
- Parallel Blockchains (Sidechains): The parallel blockchains, also known as side chains, provide additional functionality and features to the Horizen network. These side chains operate alongside the mainchain, allowing for the implementation of more complex applications, smart contracts, and specialized use cases without compromising the security and efficiency of the mainchain.
Furthermore, the network has various distinctive features:
Zenchat is a communication network and allows the interchange of encrypted messages through algorithms which are industry trusted, with a character limit of 1024.
ZenPub is a place where publishers can release content anonymously. As it uses GNUnet, this enables a vast extension of privacy.
Zenhide protects users from hostile jurisdictions by using a tool called domain fronting. This conceals the endpoint of the communication that takes place.
ZEN’s Historical Pricing and Technical Insights
The price of ZEN experienced a bull run that came to an end in November 2021. Around a year ago, by the end of August 2022, the price reached an average of $16.4. However, since then, the price has been on a downward trend, experiencing a long-term decline.
In September 2022, the bulls made an attempt to drive the price up, reaching $17.19, but their efforts were short-lived. Similarly, in October 2022, the price briefly went above $14.9, but the news related to FTX further strengthened the sellers’ position.
The coin attempted a recovery in February, reaching a last high of $15.57. However, since June 23, 2023, there has been a trend reversal seen in the yearly graph. The price reversed from $5.60 and climbed back up to the level of $9.2 as of the time of writing this article.
Currently, the price levels of ZEN are positioned above both the 50-day moving average (DMA) and the 200 DMA, indicating a positive trend. Additionally, the Relative Strength Index (RSI) is in the overbought zone, suggesting potential overvaluation.
A short-term decline could occur if there is an increase in volume at the current levels. There are two support levels drawn on the chart: an immediate support at $7.77 and a stronger support at $5.54. On the other hand, there is one immediate resistance at $9.89 and a stronger resistance at $11.40.
In the future scenario, it is anticipated that the price will consolidate between the first support and the first resistance levels. However, the recent breakout raises the possibility of a short-term bearish trend if selling pressure increases.
Conclusion
Horizen, launched in 2017 with a total supply of 21 million coins, is a blockchain platform known for its unique tech structure, monetary economics similar to Bitcoin, and strong infrastructure incentives. It operates within a network of interconnected decentralized applications (DApps) and is designed as a privacy-conserving financial network.
The platform is built on two core technical layers: the main blockchain and parallel blockchains. Additionally, Horizen offers various features such as Zenchat, ZenPub, and Zenhide. The price of Horizen experienced a bull run that concluded in November 2021. However, more recently, a price reversal has been observed.
