This article looks at Crypto.com coin and discusses the prospects for the CRO token in the current market environment.
Crypto.com (CRO) is lower on Tuesday at $0.5310 (-11.9%), extending December’s decline to -22%. Today’s price action broadly aligns with Bitcoin and most altcoins, which continue to bleed lower as investors react to macro headwinds. Undoubtedly, the immediate threat to CRO is if the Fed’s hawkish stance triggers sustained capital flight from digital assets. Furthermore, Crypto.com coin’s strength in November leaves it vulnerable to a sharp decline if market sentiment continues to sour.
Several high-profile sponsorship deals sparked a wave of buying in October, sending CRO to a record high of $0.9710 on the 24th. However, since then, the price has followed the market lower. As a result, the project’s market cap has fallen to $13.5 billion from $24.5b, and the CRO token has dropped to #15 in the crypto rankings.
The daily chart shows CRO is consolidating above the psychological $0.5000 support level. Furthermore, the 50-Day Moving Average at $0.4933 provides additional cover.
If Crypto.com Coin stays above the 50-DMA (closing basis), the price should remain stable. However, a daily close below $0.4933 could trigger an extension to the 100-DMA at $0.33460, around 36% below the current price.
In the current climate, the above scenario is highly likely. Therefore, I am bearish with a $0.3360 price target. However, a daily close above $0.6560 (December 7th high) invalidates this thesis.
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This post was last modified on Dec 13, 2021, 23:32 GMT 23:32