• Compound was one of the most successful DeFi projects reaching a market capitalization of $804 million.
  • COMP quickly retraced and lost around 50% of its initial value one month after its listing. 

No one can deny the initial success of Compound. The DeFi superpower had one of the best listings in the crypto world, reaching more than $300 within a few days.  

COMP/USD daily chart

comp price

COMP bulls have been holding a crucial support area around $159 for quite some time. The price has poked through the support level a few times, but bulls have always managed to push it back up. 

comp price

COMP IOMAP chart

Looking at the IOMAP chart, we can see the biggest support area is around $159; however, resistance and selling pressure is clearly far stronger and indicates COMP is at risk of quickly dropping below $159.  

On the other hand, the pullback from $272 was accompanied by a slow decrease in trading volume, indicating a lack of strength by the bears. The 10-SMA and the 50-SMA are both acting as resistance levels. A bounce from $159 could push the digital asset towards $170. 

COMP/USD 4-hour chart 

COMP price

Unfortunately, it seems that bears have the upper hand as COMP is currently trading right below $159 and is struggling to recover. The RSI is not yet overextended, and the next support point is down at $153.72, but this is not a healthy support level. A clear break and close below $159 would be catastrophic considering the intense selling pressure and will push COMP to the low of $145 and possibly below. 


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Ethereum price recovers slightly as whales begin accumulation spree

Ethereum price recovers slightly as whales begin accumulation spree

Ethereum showed signs of recovering its bullish momentum on Thursday, briefly rising to $3,618 as whales entered a buying spree. Despite the movement from whales, the US Securities and Exchange Commission Wells notice to Uniswap could affect Ethereum in the long run.

More Ethereum News

Solana borrowing and lending platform MarginFi sees massive withdrawal after CEO resignation

Solana borrowing and lending platform MarginFi sees massive withdrawal after CEO resignation

MarginFi saw more than $260 million leave its platform into other competing Solana platforms on Thursday. This follows controversial accusations from staking protocol SolBlaze and CEO Edgar Pavlovsky's resignation.

More Solana News

Doge contributor warns of extreme volatility amid Coinbase listing of DOGE and PEPE futures products

Doge contributor warns of extreme volatility amid Coinbase listing of DOGE and PEPE futures products

A Dogecoin contributor warned the DOGE community on Thursday to desist from derivatives trading due to the high volatility that may occur as the Bitcoin halving approaches. The warning comes as Coinbase is set to begin trading the Dogecoin futures contract after gaining approval from the CFTC.

More Dogecoin News

SEC quietly investigated and closed case against altcoin FLOW founder Dapper Labs in September

SEC quietly investigated and closed case against altcoin FLOW founder Dapper Labs in September

Flow cryptocurrency received attention on Monday after Fortune obtained a document revealing the Securities & Exchange Commission closed an investigation on its founding company, Dapper Labs, which is also responsible for developing NBA Top Shot and Crypto Kitties NFTs.

More Cryptocurrencies News

Bitcoin: Short-term holders add 1.12 million BTC, what does this mean?

Bitcoin: Short-term holders add 1.12 million BTC, what does this mean?

Bitcoin (BTC) price action for the past three weeks has been confusing for sidelined participants. On the one hand, investors are ignoring BTC and trading altcoins, and on the other hand, traders are expecting a potential dip.

Read full analysis

BTC

ETH

XRP