Los Angeles, California – Cronos, formerly known as Crypto.com Coin, is experiencing a bullish trend on its daily chart, with efforts to establish $0.1 as a support level. Investors are witnessing strong buying pressure alongside a price breakout, indicating potential further gains in the coming weeks.
Over the past 36 hours, Cronos has seen significant gains, rising by 27.7% at press time. Despite signs of a potential pullback, with a minor expected dip of around 5%, the overall 1-day price action for Cronos remains heavily bullish. The surge in buying pressure suggests a possible recovery by CRO bulls.
Market analysts have identified two daily timeframe market structure breaks for Cronos, with the price currently above the local resistance level at $0.0975 and attempting to breach the $0.105 resistance. The On-Balance Volume (OBV) has shown a notable uptick due to the high trading volume in recent days, indicating positive momentum for the bulls.
The 1-day Relative Strength Index (RSI) has surged past the neutral 50 mark, further reinforcing the strong bullish momentum for Cronos. If current demand levels can be sustained, the cryptocurrency has a favorable outlook for initiating a rally higher. However, a drop below $0.1 and $0.0975 in the coming days could result in the recent price surge being a false breakout.
Short sellers have been active in the derivatives market, as reflected by the steeply negative Funding Rate of -0.3% at press time. This negative rate previously coincided with a local price top at $0.093, suggesting potential market resistance. Despite concerns of a possible reversal, the overall bullish market structure remains intact on the daily chart.
The 1-week liquidation heatmap for Cronos highlights two key zones of interest at $0.098 and $0.118. Given the negative Funding Rate and overbought conditions in lower timeframes, there is a possibility of a price dip to $0.098. Swing traders may consider buying the token upon a retest of nearby demand zones, with a target of the $0.118-$0.12 liquidity cluster.
In conclusion, while Cronos is currently experiencing a surge in buying pressure and positive price action, traders should remain cautious of potential market fluctuations. The information presented here is solely for informational purposes and does not constitute financial advice.