- Crypto.com price has crashed 57% in the last two weeks and is currently eyeing a recovery rally.
- If bulls can recover above the recently formed resistance barrier at $0.202, a 20% upswing to $0.249 seems likely.
- A daily candlestick close below $0.139 will invalidate the bullish outlook and trigger further crashes.
Crypto.com price has been on a steep corrective move for more than five months. This correction sped up after the FOMC meeting on May 4 and took a nosedive on May 5. Since then CRO has shattered plenty of significant support levels and the primary driver of markets has been the UST-LUNA fiasco.
The UST depeg caused the stablecoin to spiral out of control, which caused a bank run. As a result, investors also rushed to redeem their UST to LUNA and sell it on the open market, leading to a massive crash in LUNA price as well.
These events together have caused many altcoins to fumble. On this point, the Crypto.com platform announced recently that it will be suspending trading for LUNA, MIR and ANC. The blog further detailed,
LUNA is no longer available for new Earn deposits or new loans within Credit. Existing LUNA Earn deposits remain unaffected.
Crypto.com price eyes a recovery rally
Crypto.com price has undergone a bear market-style correction of 82% from its all-time high at $0.975 in November 2021. This massive downswing, as mentioned above, turned into a flash crash after the first weekend in May.
The immense correction is a result of the weekend market structure followed by a depeg in UST and LUNA connection. This development caused Bitcoin and hence the entire crypto ecosystem to undergo a massive crash.
As a result, Crypto.com price has sliced through the $0.376, $0.249 and the $0.202 support levels in under two weeks or so. However, considering the recovery rally seen in altcoins, CRO is also prepping for one.
The relief rally could be successful if CRO manages to flip the $0.202 hurdle into a foothold. Such a development will allow Crypto.com price to surge 20% and tag the immediate hurdle at $0.249.
Due to the fragile nature of the markets, this level is where the upside is likely capped for CRO.
CRO/USDT 3-day chart
While things are looking up for Crypto.com price, the optimism is contingent on the bulls’ recovery above the $0.202 hurdle. Failure to do this could result in a negative outcome.
A daily candlestick close below $0.139 will invalidate the bullish outlook and trigger further crashes for Crypto.com price. This development could see CRO descend to the $0.093 support level.
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
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.