- Crypto.com coin price undergoes a staggering 10% drop in the US trading session on Tuesday.
- CRO price gets smashed against a floor at around $0.11 as bulls try to salvage the breakdown.
- Expect to see another leg lower should more US data point to more severe actions from the Fed.
Crypto.com price (CRO) was a reminder on Tuesday that markets clearly understand that the current macroeconomic backdrop is still very much in play. Cryptocurrencies are allowed to rally in a limited time frame in a very limited area to the upside, as bulls will quickly be reminded of the fact that inflation is still high and central banks are further tightening their monetary policy, triggering a drought in the cash flow stream into cryptocurrencies. This means that CRO price will soon collapse, as more bulls pull out their money with no new cash coming in to support the price action.
CRO price set to implode as cash river dries up
Crypto.com coin price had a jaw-opening move on the back of the inflation numbers out of the US. Although markets are normally quite quick to reassess the situation, even the most experienced trader must wrap his head around what happened on Tuesday. Overall, the picture is quite clear: the current macro environment does not support risk assets and does not look to open up anytime soon.
CRO price thus can only go one way as more traders start to understand this and pull their cash out of cryptocurrencies to allocate it elsewhere. The much-needed cash flow into cryptocurrencies will start to dry up and could see the market capitalization drop again, with all major cryptocurrencies trading below important handles. The same goes for Crypto.com coin price that could start to trade below $0.1000 once $0.1100 breaks, with $0.0984 as the year's low to test and possibly break before printing at $0.0900.
CRO/USD Daily chart
At the same time, some paring back of the losses from Tuesday would be a normal market reaction. Certainly, for bulls that are always looking to scoop up some bargains and CRO price trading at a discount after the drop. Expect to see gains on the board that could go as far as $0.1200, with bulls trying to reboot the rally from last week.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Litecoin Price Prediction: LTC tries to retake $100 resistance as miners halt sell-off
Litecoin price grazed 105 mark on Monday, rebounding 22% from the one-month low of $87 recorded during last week’s market crash. On-chain data shows sell pressure among LTC miners has subsided. Is the bottom in?
Bitcoin fails to recover as Metaplanet buys the dip
Bitcoin price struggles around $95,000 after erasing gains from Friday’s relief rally over the weekend. Bitcoin’s weekly price chart posts the first major decline since President-elect Donald Trump’s win in November.
SEC Commissioner Hester Pierce sheds light on Ethereum ETF staking under new administration
In a Friday interview with Coinage, SEC Commissioner Hester Peirce discussed her optimism about upcoming regulatory changes as the agency transitions to new leadership under President Trump’s pick for new Chair, Paul Atkins.
Bitcoin dives 3% from its recent all-time high, is this the cycle top?
Bitcoin investors panicked after the Fed's hawkish rate cut decision, hitting the market with high selling pressure. Bitcoin's four-year market cycle pattern indicates that the recent correction could be temporary.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot ETFs in January and the reduced supply following the fourth halving event in April.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.