CVX price has been in a downtrend since it shattered the major support level of $4.82 which had held the price previously. During the start of 2023, CVX price was bullish and the rally led to the formation of its yearly high at $7.253.
After the break of $4.82, the cryptocurrency’s price formed support at $4.29 for retesting the previous zone and the $4.82 level. The price faced resistance from the $4.82 level and gained enough bearish momentum to shatter the support of $4.29.
Recently, CVX price formed support at $3.22 level after falling to initiate a bullish rally, but the price faced resistance from $3.95 and the candle closed at $3.90. This move led to a rise of roughly 21% in the price. After the rejection, price once again entered into a downtrend and is currently headed toward the recently formed support level of $3.22.
The current candle is trying to form support at $3.45. If the current candle can close as a strong bullish candle and the next candle breaks the upper wick of the current candle, there is a probability for the price to retest the $3.90 resistance level. A break and close above $3.90 can provide confirmation regarding a move toward $4.29.
On the other hand, If price breaks the lower wick of the previous candle, there is a possibility that price might head toward $3.22. The market capitalization of CVX has decreased by 2.20% to $276 million and the 24-hour trading volume is up by 37.05%.
Will CVX Price Retest the $3.90 Level?
Convex finance price trades below the 20,50,100 and 200-day EMAs, indicating bearish momentum in the price. The Chaikin money flow score is still in positive territory and is currently at 0.03, indicating slight strength in the market.
The relative strength index (RSI) at 40.93 indicates bearish momentum. RSI rejected the 50 mark and started to dip. The price has crossed below the 20-day SMA of bollinger, indicating bearish momentum in the price. The long/short ratio of convex finance is 0.7176 with 41.78% longs and 58.22% shorts indicating high selling pressure over price in the last 24 hours.
Conclusion
The market structure and price action of Convex finance has changed to bearish after price faced resistance from the $3.95 level. Currently, the price is trying to form support at $3.45 and if successful, the price can retest the resistance level of $3.90. The technical parameters are favoring the bears and there is high pressure from the selling side in the last 24 hours.
Technical levels
Major support: $3.22 and $3
Major resistance: $3.90 and $4.29
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/06/29/convex-finance-price-prediction-cvx-price-drops-below-20-day-ema/