Crypto.com price breaks through resistance as CRO bulls take over
|- Crypto.com price under pressure post US CPI data, recovers and maintains gains.
- Crucial $0.50 price level breached, bullish momentum must be maintained.
- Downside risks could be significant if buyers slowly fade away.
Crypto.com price has achieved several extremely bullish events today, chiefly that of testing the primary resistance zone in the $0.53 value area. However, the combination of CRO testing a significant resistance cluster while the oscillators print oversold levels could precursor some intense and imminent selling pressure.
Crypto.com price must move and close above the $0.53 value area to maintain its gains
Crypto.com has a major cluster of resistance between $0.51 and $0.53. The 38.2% Fibonacci retracement (of this current downswing), the 61.8% Fibonacci retracement of the prior upswing) and the bottom of the Ichimoku Cloud (Senkou Span A) in the $0.51 to $0.53 price levels. It is the single most significant and most challenging resistance level on the daily Crypto.com chart.
Bulls were able to pierce above that resistance zone but faced immense selling pressure after the announced US CPI data, but it recovered nearly all of that loss. However, it shows signs of struggling to return above $0.53 and even maintaining a stable price range at $0.52. If Crypto.com price can’t close higher, the oscillators may be the warning bulls need to get out.
The Optex Bands oscillator is trading near extreme overbought conditions and at the highest level observed since November 20, 2021 – right before the all-time high. Likewise, the Relative Strength Index is right up against the final overbought level of 65.
CRO/USD Daily Ichimoku Kinko Hyo Chart
The combination of the resistance cluster and the bearish continuation signals in the oscillators warn of a pullback, likely down to the 50% Fibonacci retracement and Kijun-Sen at $0.45.
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