The markets have experienced a series of significant events this week, with the latest one occurring last night. New developments are also taking place in the CRV sector, which has dominated the market on Sunday and Monday. The cryptocurrency market, which is the most exciting area of risk markets, is once again a hot topic. So, has the CRV Token recovered from the drop?
Curve DAO (CRV)
The price of Curve DAO Token (CRV) experienced a breakthrough from a long-term support level with a strong jump on August 1st. The support line has remained intact for 252 days. Therefore, its break or hold can determine the direction of the future trend.
The price has been rising along an ascending support line since November 2022. The line has caused three jumps so far. However, after the last jump on July 30th, the price dropped below the critical zone to $0.48 the next day. Now, the jump from this point has caused a 5% increase in the daily price. Moreover, the $0.48 level has been confirmed as support on centralized exchanges.
CRV Coin Chart Analysis
If the line is reclaimed, it could lead to a 50% increase from the bottom to the next resistance at $0.88, but if rejected, a return to support is likely. This would mean a drop from the current level of $0.59 to 11 cents, as of the time of writing.
The daily RSI turning bullish supports the continuation of the jump. The demand for the altcoin, which has recovered from oversold levels, has risen to the neutral zone. The recovery of Bitcoin‘s price to $29,000 after yesterday’s FUD also supported the movement of the CRV Token.
Technical readings on the daily chart indicate that the upward movement that started in November 2022 is a five-wave upward movement. If the count is correct, the subsequent decline is a correction. Being within a descending parallel channel is consistent with this possibility. However, the price is still trading close to the channel’s bottom. Waiting for a breakout from the channel may be beneficial to confirm that the trend is still bullish.
If this happens, the price could increase by 170% and reach the next resistance at $1.55. On the other hand, closing below the channel’s bottom could initiate a journey towards the bottoms at $0.48 and $0.3.
