Bear Trap Triggers Recovery Opportunity for Curve Dao Coin(CRV)

With a massive surge in volume, the Curve dao coin price bounced back from $0.4 psychological support. However, this sudden bullish reversal reclaimed a recently breached $0.534 mark, offering buyers additional support to lead a price recovery. How far the bullish rally is likely to go?

Key points:

• A daily candle closing above the $0.535 level would bolster further price growth
• The overhead EMAs(20, 50, and 100) could offer multiple resistance against a potential rally.
• The intraday trading volume in the CRV token is $629.5 Million, indicating a 1000.5% gain.

Source- Tradingview 

Following the recent bloodbath in crypto markets caused by the FTX crypto exchange crash, the Curve dao coin price witnessed an intense sell-off and plunged to the June bottom support of $0.535. However, with sustained selling in the crypto market, the altcoin couldn’t sustain this support, leading to further breakdown.

On November 20th, the CRV price breached $0.535 support, indicating the sellers are confident about reaching lower levels. However, the altcoin witnessed a sudden bullish reversal after hitting the $0.4 mark, driving the price above the breached support.

The Curve dao coin price currently trades at $0.6, with an intraday gain of 21%. As per the reports, this sharp price jump was backed by a short squeeze from crypto whales. Thus, these whales exiting their short position must have increased the buying orders in the market.

Moreover, the coin price rising above the recently breached $0.535 support indicates a fake breakdown scenario. Furthermore, this price rally may force liquate more short sellers by hitting their stop loss.

Therefore, the CRV price may surge 14% higher with sustained buying and reach the $0.685 resistance.

Technical analysis

RSI: The daily RSI slope reverted from the neckline of the oversold region, indicating that the aggressive selling is stabilizing. 

EMAs: the downsloping crucial EMAs(20, 50, and 100) highlight an established downtrend. Moreover, the rising price may soon hit 20-day EMA, providing additional selling pressure.

Curve Dao Coin Intraday level

• Spot price: $0.6
• Trend: Bullish
• Volatility: High,
• Resistance levels- $0.685 and  $0.8
• Support levels- $0.535 and $0.4