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Crypto.com price consolidates, forecasting a 22% rally for CRO holders

  • Crypto.com price undergoes a range tightening phase as it hovers above the $0.108 level. 
  • Investors can expect a bullish breakout that pushes it to $0.126 and $0.136. 
  • A daily candlestick close below $0.108 will invalidate the bullish thesis for CRO.

Crypto.com price seems to have undone its breakout gains seen in the last week of September. This downtrend has morphed into a tight consolidation showing no volatility. Investors can take their eyes off CRO as long as this trend continues. However, market participants can expect an explosive move soon due to this range tightening.

Crypto.com price squeezes before an explosive move

Crypto.com price has set up a falling wedge between August 14 and September 22 as it crashed 37%. This downtrend created two lower highs and three lower lows, which reveal a falling wedge when connected using swing points. 

This technical formation forecasts a 21% upswing to $0.136, obtained by adding the distance between the first swing high and swing low to the breakout point at $0.112. 

Although the initial breakout from the falling wedge was explosive and produced a 13% gain, it failed to sustain. As a result, CRO crashed 14% and is currently hovering around $0.110, waiting for an explosive move.

Due to the tight consolidation, market participants can expect Crypto.com price to trigger another breakout under perfect market conditions. This move will likely target equal highs at $0.126.

Clearing this objective will allow CRO bulls to set their eyes on the falling wedge’s target at $0.136. In some cases, Crypto.com price could extend the run-up to retest the $0.142 hurdle, bringing the total gain from 23% to 28%.

CRO/USDT 1-day chart

CRO/USDT 1-day chart

Despite the bullish breakout and optimism around Crypto.com price, a lack of buying pressure that knocks CRO below $0.108 will create a lower low and invalidate the bullish thesis. This development could see the altcoin trigger a crash to the immediate support level at $0.0985, where buyers can step in and give the uptrend another go.

Note:

The video attached below talks about Bitcoin price and its potential outlook, however, this is still relevant as it is likely to influence Crypto.com price.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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