Crypto.com (CRO) News is Bearish but Price is Bullish

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Crypto.com (CRO) price broke out of a descending resistance line despite extremely bearish news.

First, on January 11, the company announced that it would remove Tether (USDT) for Canadians to comply with the Canadian Securities Administrators (CSA). Two days later, more negative news about Crypto.com surfaced. The exchange announced that it would lay off 20% of its workforce, resuming the recent wave of job cuts following the collapse of FTX.

Despite these two negative news items, the price of CRO has performed admirably this year, rising around 45%.

Crypto.com price jumps 45%

The price of CRO has been rising since December 20, 2022. It created a higher low on December 30 and accelerated its rate of increase thereafter. Since then, it has increased by 45%.

On January 13, Cypto.com price broke out of a descending resistance line. It then broke above the $0.074 resistance zone two days later. On January 16, the CRO price validated the line as support (green icon) and then rebounded. This led to a high of $0.085.

Currently, CRO price is facing resistance from the 0.382 Fib retracement resistance level. However, the main resistance area is near $0.10, created by a horizontal resistance zone and the 0.618 Fib retracement resistance level.

Even though the RSI is overbought, it did not generate a bearish divergence. As a result, the upward movement may continue, driving the CRO price to the $0.100 resistance zone.

On the other hand, a close below the $0.074 support zone would invalidate this bullish assumption.

CRO/USDT six-hour chart. Source: TradingViewShort-term CRO price may rebound before wave five ends

Technical analysis of the short-term 2-hour chart shows that CRO price is likely in the fourth wave of a five-wave upward move (black). The number of subwaves is shown in red, showing that Crypto.com price has completed subwave five in the last 24 hours.

If the count is correct, CRO price will decline towards the sub-wave four region at $0.072 before bouncing back and ending wave five. The most likely target for the top of the fifth wave would be $0.10, lining up with the resistance zone described earlier.

A drop below the top of the first wave (red line) at $0.060 would invalidate this number of bullish waves.

Two-hour CRO/USDT chart. Source: Trading View

To conclude, the most likely CRO price prediction is an increase towards at least $0.100. Whether the price breaks out of this level or is rejected could determine the future trend. On the other hand, a drop below $0.060 would invalidate this bullish price projection.

For the latest crypto market analysis from BeInCryptos, click here.

Disclaimer

BeInCrypto strives to provide accurate and up-to-date information, but it will not be responsible for missing facts or inaccurate information. You comply and understand that you must use this information at your own risk. Cryptocurrencies are highly volatile financial assets, so do your research and make your own financial decisions.

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