What to know:
- CRV sees rising demand as price tests key support zone within descending channel.
- Analysts highlight the accumulation trend while warning of repeated pressure on $0.20.
- Derivatives data shows mixed sentiment with rising volume but declining open interest.
On Monday, March 30, Curve DAO Token (CRV) shows renewed activity in the market, with buying interest increasing in recent sessions. The price action of the token is being monitored by traders, as it tests a key technical zone that could dictate its future direction.
As of writing, Curve DAO Token (CRV) is trading at $0.2210, marking an increase of 5.57% in a day. The trading volume is showing a strong bullish surge up 28.27% and is currently standing at $46.81 million. Over the last week, the token has decreased by 0.91%, according to CoinMarketCap.
CRV Holds Key Support Zone
Crypto analyst Jonathan Carter highlighted that the token is currently in a key support area. He also stated that the token is currently in a descending channel in the 3-day chart. According to him, this area is experiencing strong accumulation. Such behavior often precedes upward movement.
Carter has also outlined upside targets if the momentum is sustained. This includes the levels of $0.27, $0.34, $0.46, $0.59, and $0.80. He has also emphasized the need to hold the support zone at the current levels.
Additionally, another analyst, KhonshuArc, has mentioned that the token is still holding around the buy zone but is showing weakness. He has also noted that the token has been tested at the support level of $0.20 several times. Repeated tests increase the risk of a breakdown.
He further explained that it is also possible to have a liquidity sweep lower than $0.20. This could mean that weaker positions will be cleared from the market. If this happens, he is looking to enter the market between $0.15 and $0.17.
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The analyst also pointed out that the general trend is not changing. He described the current stage as the accumulation stage, not the decline stage.
He emphasized that there is no reason to panic at the current stage. However, the reversal would be confirmed if the price moves towards the range of $0.30-$0.32.
Volume Rises While Open Interest Declines
According to CoinGlass data, the future volume increased by 9.78% to $128.32 million. Meanwhile, the open interest reduced by 11.47% to $74.45 million.
The OI-weighted funding rate is at 0.0067%. This is a reflection of the slightly bullish sentiment prevailing in the market.
The CRV is still at the critical level, with the market closely observing the support and breakout levels.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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