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- Curve Dao token prices have dropped 32% in just over two weeks.
- Its bearish structure and lack of demand meant that a drop to $0.42 was likely.
Curve DAO Token [CRV] was trending downward over the past month, and the heavy selling has not halted.
Even though Bitcoin [BTC] registered some gains since Monday, CRV was unable to match the leading crypto’s performance.
It was trading below the lows of the 23rd of June, a testament to the strength of the bears. It appeared likely that a move to $0.4-$0.42 would occur in June.
Curve token fails to hold on to $0.7, momentum firmly bearish now
Source: CRV/USDT on TradingView
The rally in November and December was strong, but the weekly chart revealed that the rejection came at the exact weekly top from early 2023.
This hinted at a 30-month consolidation phase for Curve DAO. The altseason in November failed to set up an uptrend on the weekly timeframe.
The consolidation, or range formation (white), extended from $0.23 to $1.20. Over the past two months, CRV has tested the $0.82 resistance but has been unable to stay above the mid-range level at $0.72.
This failure indicated the potential for a deep retracement, which could fall to $0.38 or even as low as $0.23.
Source: CRV/USDT on TradingView
On the daily timeframe, Curve DAO (CRV) shows a bearish market structure.
Earlier in June, the price tested the $0.70 level, acting as a supply zone, but was firmly rejected. Since then, CRV has declined by 32%.
The Chaikin Money Flow (CMF) has remained below +0.05 since the November rally, indicating persistent selling pressure.
Similarly, the On-Balance Volume (OBV) reflects a shift in control to sellers, following a brief surge in demand during late March and early April.
A bullish order block between $0.42 and $0.50 (highlighted in cyan) may act as a strong demand zone.
Bulls are expected to defend this region, and traders should watch closely for signs of a trend reversal here.
However, with moving averages continuing to indicate downward momentum, caution is advised. Entering long positions too early could be risky without confirmation of a reversal.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
