|

Crypto.com price tightens, hinting at a 20% upswing

  • Crypto.com price shows a tight consolidation with higher lows, suggesting a build-up of bullish momentum.
  • Investors can expect a 20% rally from the current position to $0.0785 in the coming week.
  • A daily candlestick close below $0.0612 will invalidate the bullish outlook for CRO.

Crypto.com price action over the last two weeks has not been kind to investors. The ongoing tight consolidation will likely end on a good note but will require support from Bitcoin, which is also getting squeezed.

Crypto.com price edges closer to a breakout

Crypto.com price downtrend since May 15 is apparent, and the lower highs formed in this period can be connected using a trend line. Over the last two weeks, CRO has produced a string of lower lows and lower highs, indicating a tight consolidation. 

Interestingly, the Relative Strength Index (RSI), a popular momentum indicator, has produced higher lows, indicating a slow build-up of bullish momentum. This non-conformity in Crypto.com price hints that a trend reversal is likely.

Since CRO is bouncing off the $0.0612 support level, the bullish outlook is more likely to play out. In such a case, market participants can expect Crypto.com price to rally 20% and tag the $0.0785 hurdle.

Although a further extension of the uptrend is unlikely, investors should consider the possibility that CRO retests the confluence of the declining trend line and the intermediate resistance at $0.0923. This move would bring the total gain for investors from 20% to 43%.

CRO/USDT 1-day chart

CRO/USDT 1-day chart

Regardless of the optimism, investors should note that a breakdown of the critical support level at $0.0612 will invalidate the bullish thesis for Crypto.com price. This move would produce a lower low and signal a downtrend continuation.

Such a development for Crypto.com price could see it tank 15% and retest the $0.0520 support level.

Here's how Bitcoin's moves could affect 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.

More from Akash Girimath
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Avalanche struggles near $12 as Grayscale files updated form for ETF

Avalanche trades close to $12 by press time on Wednesday, extending the nearly 2% drop from the previous day. Grayscale filed an updated form to convert its Avalanche-focused Trust into an ETF with the US Securities and Exchange Commission.

Bitcoin slips below $87,000 as ETF outflows intensify, whale participation declines

Bitcoin price continues to trade around $86,770 on Wednesday, after failing to break above the $90,000 resistance. US-listed spot ETFs record an outflow of $188.64 million on Tuesday, marking the fourth consecutive day of withdrawals.

Michael Selig assumes role as new CFTC Chair, what does this mean for crypto?

Michael Selig has been sworn in to serve as the 16th Chairman of the Commodity Futures Trading Commission. Selig was confirmed by the US Senate to head the commission last week, following his October nomination by the US President Donald Trump.

Crypto.com hires sports trader for event prediction market-making

Crypto.com plans to recruit a quant trader for the sports market-making team to buy and sell financial contracts related to these events. Opponents argue that internal trading desks put operators or their affiliates on the opposite side of customer trades. 

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.

Crypto.com price tightens, hinting at a 20% upswing