CRV price set to rally nearly 20% after Curve DAO facilitates nearly $33 billion swaps in Q1
|- Curve DAO price coils up inside a bullish pennant pattern, awaiting a trigger.
- Investors can expect a 17% upswing to $1.173 on a successful breakout.
- A four-hour candlestick close below the $0.985 support level will invalidate the bullish thesis for CRV.
Curve DAO price has been coiling up in a tight consolidative pattern after rallying 17% in April. This move is indicative of a bright future for CRV that is likely to repeat this upswing soon. So investors need to pay close attention to the altcoin for an upward breakout that will confirm the start of this move.
Curve DAO platform has clocked in $32.9 billion in swaps on Ethereum in the first quarter of 2023. Comparing this to Uniswap’s $132 billion, CRV’s swaps only constitute 23%. Balancer and Sushi executed swaps worth $5.7 billion and $3.9 billion, respectively.
Also read: Dogecoin Price: Investors concerned over DOGE overreliance on Twitter and CEO Elon Musk
Curve DAO price needs confirmation
Curve DAO price bounced off the $0.892 support level thrice since March 24 and retested it for the third time on April 3. This move kick-started a 17% upswing to $1.035. Soon thereafter, CRV started coiling up, forming lower highs and higher lows. Connecting these swing points using trend lines reveal a pennant formation.
The 17% upswing is called a ‘flagpole’ while the consolidation that ensued is termed a bullish pennant. This technical formation is a continuation pattern and forecasts a 17% rally to $1.173, obtained by adding the height of the flagpole to the breakout point at $1.024.
In some cases, the Curve DAO price might prematurely stop at the 70.5% retracement level at $1.173 or extend all the way up to the 79% retracement level at $1.193.
CRV/USDT 4-hour chart
On the other hand, if Curve DAO price fails to move higher and confirm a successful breakout, it will denote weakness. If CRV slides lower and flips the $0.985 support level into a resistance level, it will invalidate the bullish thesis.
In such a case, Curve DAO price could slide 9.80% to tag the next support floor at $0.892.
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