Curve DAO works as a decentralized exchange for stable coins using the automated market maker liquidity. Since January 2020, this platform has made a strong position in the DeFi space and showed amazing growth in the second half of 2020.
In August, Curve initiated a DAO project where CRV is its in-house token. It is an Ethereum based tool that can connect multiple smart contracts to deposit liquidity. However, this instrument has a standard risk of depositing funds in smart contracts and AMMs. On the other hand, it only supports stable coin, where quick market movement is reduced.
The Curve DAU token is still a juvenile project; it has 446,784,615.77 CRV in circulation, representing 14% of the total supply. Curve DAO Token (CRV) price today has a $2,177,762,534.67 market cap that allows it to hold the 58th position in coin market cap crypto ranking.
So, Is Curve DAO Token (CRV) a good investment?
Let’s see the Curve DAO Token (CRV) price prediction from Curve DAO Token review:
Curve DAO Token (CRV) Price Trades Above Static Support Level
In the CRV/USDT daily chart, the broader market trend is bullish, where the price made multiple higher highs in the recent months. However, the current price is bearish from the 6.792 swing high that moved the price below the dynamic 20 EMA. However, it is still above the 4.641 static support level from where any buying pressure would be a potential buying opportunity.
The MACD Histogram turned bearish in the indicator window, but its momentum is not strong despite the 30% loss in the price. Moreover, there is no sign of divergence in the MACD line. Therefore, investors should wait for bullish price action with a daily close above the dynamic 20 EMA before going long in this pair. In that case, the primary bullish target would be towards the 7.00 level.
On the other hand, a break below the 4.641 might increase the loss towards the 3.255 level in the coming days. In that case, investors should find another buying opportunity from 3.255 to 2.583 areas.
CRV/USDT Ichimoku Cloud Analysis
According to the Ichimoku cloud in the H4 chart, the CRV/USDT price shows another sentiment where the most recent trend changed from bullish to bearish. The price moved below the Kumo Cloud with an impulsive bearish pressure where the Future cloud changed its direction to bearish. Senkou Span A moved below the Senkou Span B and aimed lower, the primary sign of the possible bearish pressure. However, the price shows a bullish rejection from the 4.641 static support that might need close attention from investors.
The above image shows how the RSI is hovering at the oversold 30 level, indicating that the price is overextended to the downside. Therefore, any rejection from the 30 level would be a buying opportunity in this pair, but close attention to price action is needed. The current price is below Tenkan Sen and Kijun Sen, and any bullish correction is a potential selling opportunity.
Based on the H4 Curve DAO Token Forecast, if the price shows bearish rejection from the static 5.770 level, it may move lower in the coming days. On the other hand, a regular break with an H4 close above the 5.770 is vital to rely on the possible bullish pressure in the price. In that case, the primary target would be the 6.792 level.
CRV/USDT Intraday Price Action Analysis
CRV/USDT bears became stronger in the intraday chart and took the price below dynamic 20 EMA and weekly VWAP level. Therefore, as the broader market context is bullish, investors should wait for the price to move above dynamic levels before going long.
The above image shows that the MACD Histogram is bearish and losing momentum. Therefore, a positive Histogram with a bullish H4 close above 5.770 static level would be a potential buying opportunity in this pair.
Is Curve DAO Token (CRV) A Buy?
According to the Curve DAO Token (CRV) forecast, the border market context is bullish, so investors should focus on buying at a reliable price level. However, the current price shows bearish momentum where no bullish price action is seen. In that case, investors should closely monitor how the price trades at support levels. Any bullish opportunity from H4 dynamic levels is potent to provide a decent outcome in the coming days.