Key takeaways
- CRV is up by less than 1% despite the ongoing market correction.
- The coin could rally towards the $0.5 psychological level as bulls continue to accumulate.
Curve DAO tops $0.40
Curve DAO (CRV) is trading above $0.40 after adding more than 8% to its value in the last 24 hours. It is facing resistance at $0.433 after recording excellent gains in the near term.
The bullish performance comes amid whale accumulation. According to Santiment’s Supply Distribution data, whales holding between 10 million and 100 million CRV tokens (blue line) have accumulated a total of 33 million CRV tokens from early January to Thursday.
However, wallets holding between 100,000 and 1 million ADA tokens (red line) and 1 million and 10 million CRV tokens (yellow line) have shed 29 million tokens.
In addition to that, Santiment’s Daily Active Addresses index, which tracks network activity over time, also suggests a bullish bias. An increase in the metric suggests growing blockchain usage.
CRV’s Daily Active Addresses rose from 945 on December 26 to 1388 on Thursday, the highest level since October 14. The surge indicates that demand for Curve DAO’s blockchain usage is increasing, which could benefit CRV’s price.
CRV could extend gains above $0.5
The CRV/USD 4H chart is bearish and efficient despite the coin’s recent bullish action. CRV retested the weekly resistance level at $0.433 and has now declined to trade at $0.414.
At press time, CRV is attempting to break above the weekly resistance level. If that happens, CRV could extend the rally toward the November 10 high of $0.548, which coincides with the 200-day EMA.
The Relative Strength Index (RSI) on the 4-hour chart reads 51, above the neutral level of 50, indicating bullish momentum is gaining traction.
Finally, the Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, adding further bullish confluence to the coin.
If the market correction persists, CRV could decline towards the new year low of $0.357.
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