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- 1 Technical indicators suggest the consolidation phase in the Compound cryptocurrency.
- 2 The Compound crypto price has been consolidating inside the horizontal price range of $57.37 and $46.71 over the daily time frame chart.
The Compound price prediction suggests that bears and bulls have not yet fully understood the trend. Investors may prefer to wait for multiple technical indicators to converge to determine trend direction. The green candle is slightly increasing, indicating that the COMP price is attracting buyers in the demand zone.
Investor sentiment on the Compound token price is currently undecided and may remain negative unless buyers actively participate in price movements. However, the technical indicators and price action show that the odds are in favor of the bulls.
The price of the Compound cryptocurrency will attract buyers towards the upper trend line of the consolidation phase on the daily chart. Meanwhile, the Compound crypto price is attempting to find support and advance towards the 20-day, 50-day, 100-day, and 200-day moving averages.
The Compound crypto is consolidating with a flat price range from $57.37 and $46.71. Moreover, the Comp token price has advanced by 0.88% in the last week but plunged by 6.09% in a month. Furthermore, the price has surged about 44.11% over the last 3 months and around 89.68% over the past six months. Nevertheless, the Compound crypto chart is displaying an uptrend in the forthcoming days.
The Compound Crypto Price Has Been Consolidating
To reach the upper limit of the consolidation phase, the COMP token price must begin to rise. However, to enter the recovery phase, this cryptocurrency needs to accumulate buyers. Meanwhile, the price of Compound cryptocurrency fell below the 20-day, 50-day, 100-day, and 200-day moving averages. Additionally, the Compound cryptocurrency should register a breakout during the consolidation phase on the daily chart.
Technical indicators indicate a consolidation phase in the price of the Compound cryptocurrency. The Relative Strength Index (RSI) shows the sideways momentum of the Compound cryptocurrency. RSI was at 40.11 and moving towards oversold territory.
MACD shows the bearish phase of the price of Compound cryptocurrency. The MACD line is placed below the signal line and facing downward. Compound cryptocurrency investors should wait for a change in direction on the daily chart.
Summary
Compound is one of the top decentralized finance platforms and it permits users to lend and borrow different crypto assets. Its native token “COMP” has been trading in a narrow range for the last few months and has not established a precise direction.
The technical analysis of the daily chart indicates that the crypto is in a consolidation phase and must break out of the horizontal price range to enter a healing phase. The price of the Compound cryptocurrency is expected to break out of the consolidation phase in 2023 and reach the target of $100. Therefore, investors and traders can expect a positive return from the COMP token in the future.
Technical levels
Resistance levels: $57.37.
Support level: $46.71.
Disclaimer
The analysis provided in this article is for informational and educational purposes only. Do not rely on this information as financial, investment, or trading advice. Investing and trading in crypto involves risk. Please assess your situation and risk tolerance before making any investment decisions.
Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.