CRV Surges 15%: What's The Next Move For Curve DAO Token?

Curve Finance’s native token, CRV, has recently experienced a notable uptick in value, driven by a sudden surge in whale accumulation. As the decentralized finance (DeFi) platform’s token rebounds from its November 2022 low of $0.4, crypto enthusiasts are left wondering whether this momentum is sufficient to initiate a sustained bullish trend for CRV.

Over the weekend, cryptocurrency tracker Lookonchain detected an interesting activity involving two significant whales. The first whale orchestrated a substantial withdrawal, amassing a staggering 19.56 million CRV tokens valued at approximately $10.33 million from the popular crypto exchange Binance.

What makes this move even more intriguing is that the whale proceeded to stake the entire sum on Convex Finance (CVX), a DeFi platform intricately designed to empower Curve users in enhancing their rewards.

Not to be outdone, another whale executed a withdrawal of 5.78 million CRV tokens, worth in excess of $3 million, from Binance on a Sunday, further piquing the curiosity of the crypto community.

Whale”0xDf14″ withdrew 5.12M $CRV($2.7M) from #Binance again 6 hours ago.

And the whale has withdrawn a total of 19.56M $CRV($10.33M) from #Binance in the past 3 days.

The whale staked all $CRV on #Convex.https://t.co/eSOmZSlmk8 pic.twitter.com/8fXj2VVk3T

— Lookonchain (@lookonchain) September 25, 2023

Resistance Looms, Yet Potential For CRV Persists

The current price of CRV on CoinGecko stands at $0.515, reflecting a 0.1% decline over the past 24 hours but showing a promising seven-day rise of 16%.

Despite the upward surge, CRV is currently confronting a resistance zone in the vicinity of the $0.55 mark, potentially attributable to short-term traders capitalizing on their gains.

In the event that supply pressure mounts, this altcoin could undergo a minor retreat, possibly descending to levels around $0.5 or even $0.45 as it regains its bullish footing.

CRV market cap currently at $459 million. Chart: TradingView.com

If the ongoing recovery trend retains its momentum, CRV’s price, according to a price report, may aspire to another notable ascent, targeting a 10% upswing to challenge the upper threshold of a long-standing channel pattern.

Taking a step back to assess the broader picture, the CRV token has endured a prolonged correction phase, ensnared within a descending channel pattern that has persisted since February 2023.

Implications For The Future

As CRV navigates the currents of the crypto market, the recent surge in whale accumulation adds a layer of anticipation to its journey. Whether this accumulation is indicative of a more sustained bullish run remains to be seen, as the token grapples with resistance levels and supply dynamics. 

Nonetheless, the evolving dynamics surrounding CRV underscore the ever-evolving nature of the cryptocurrency space, where market sentiment and investor behavior can rapidly shift the course of a digital asset. 

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from iStock

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