Curve DAO Token (CRV) gained 17% on January 3 and hit a new all-time high the next day. The outlook remains optimistic.

Conquer the important price zone

CRV has risen since December 4th when it confirmed the previous descending resistance line as support (green symbol).

Shortly thereafter, it returned to the horizontal zone of $ 4.05 and has been moving higher since then.

Pullback is important as this area previously acted as an area of ​​resistance at all time highs. In the event of a short-term decline, this zone is intended to serve as a support.

On January 4, the token hit a new all-time high of $ 6.8.

Daily CRV / USDT Chart | Source: TradingView

Growing

The daily chart offers a bullish outlook. CRV broke the short-term descending resistance line and confirmed it as support on December 3rd. On the same day it recovered and rose 17%. The rally also served to confirm the $ 5.95 horizontal zone as support.

Technical indicators support the continuation of the upward trend.

The MACD, formed by the short and long-term moving averages (MA), is in positive territory and rising. This means that the short-term MA is moving faster than the long-term MA and is a key element of an uptrend. The last time this happened (green circle) was in October 2021 and before the sharp rally to the all-time high on November 25th.

Likewise, the RSI rises and is above 50. The RSI is a momentum indicator and values ​​above 50 are considered bullish.

The next resistance is at $ 8.60 and is created by the external fib retracement resistance at 1.61.

Daily CRV / USDT Chart | Source: TradingView

Count waves

The number of waves shows that CRV is on the third wave of a bullish impulse. The number of partial waves is shown in black, which indicates that the CRV is in the fifth and last partial wave. The entire movement from October 2020 to April 2021 (highlighted) could be part of the first wave.

The most likely target for the top of the move is the $ 8.10 level. It is found with a length of 1.61 of wave one (white) and a length of 1: 1 of sub-wave 1-3 (black).

A correction would then be expected.

Daily CRV / USDT Chart | Source: TradingView

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

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