CRV Price Explodes 20% as Golden Cross Triggers Massive Breakout

• Curve DAO price is showing extreme bullishness on the technical chart.
• CRV price surged by 20% in the last 24 hours, showing a powerful comeback.

Curve DAO (CRV) has provided a technical breakout that has been raising the eyebrows of crypto traders and analysts. The token has bounced back with a vengeance. As per CMC data, it rose to over $0.92 after being at around $0.48, and has shattered several important resistance levels and technical indicators.

The most important thing that happened on the technical chart of CRV is that a golden cross was created between the 50-day EMA ($0.6267) and the 200-day EMA ($0.6071). This golden crossover is considered to be one of the most credible technical indicators. This means that the short-term momentum has clearly overcome the resistance in the long run. 

The golden cross formation indicates that CRV has already entered a new bullish cycle. Now, both moving averages have been placed in a position that they can serve as dynamic support levels in the event of any future pullbacks.

The MACD indicator gives a good confirmation of the bullish momentum, which is at present in the positive region with widening green histogram bars. The technical arrangement shows that the purchasing pressure is gaining pace, and the positive momentum is building up. The movement of the MACD into positive territory is usually a precursor to major price action. In the case of CRV, it has been a perfect accompaniment to the breakout above the major moving averages.

What’s Next For Curve DAO Price?

The social sentiment analysis shows that there is a significant change in the market psychology of CRV. Following the long-term negative sentiment, the indicator is currently displaying more and more positive readings. The change in sentiment can frequently serve as a trigger to a long-term trend in prices, since a positive change in sentiment will usually result in greater buying activity and less selling pressure.

But the traders ought to be cautious because the RSI indicator is at 82.81, which is already in the overbought zone. This does not discount the bullish outlook, but it does imply that the recent up move may be ready to take a short-term breather or pull back. When markets are overbought, temporary retracements are usually experienced due to profit taking.

The 50-day EMA at $0.6267 and the 200-day EMA at $0.6071 should now act as dynamic support. Another important support is the level of $0.48, which is also the former resistance turned support zone. In general, the technical image of CRV is a strong bullish one, but a bit of consolidation could be healthy before the next leg up.

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