CRO is getting extremely oversold

The Cronos (CRO/USD) price crashed to the lowest level since November 2021. The CRO token is trading at $0.2680, which is about 80% below the highest level in December last year. Its total market capitalization dropped to a low of $6.9 billion, which is substantially lower than its all-time high.

Crypto.com slashes card rewards

Cronos, formerly known as Crypto.org Chain, is a leading blockchain project whose mainnet went live in November last year. Since then, the network has become so successful as it has attracted top developers who have developed applications like VVS Finance, Tectonic, and MM Finance among others. 


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According to DeFi Llama, the network’s total value locked (TVL) currently stands at about $2.8 billion. Like many other chains, this TVL has been in a downward trend since it peaked at about $4 billion in March. Still, it has more activity than other bigger chains like Cardano and Polygon.

Cronos price declined sharply after Crypto.com decided to tweak its staking and card rewards. It said that it will slash the rewards on the usage of cards, with its lower tiers getting 0%. Its premium cards will get just 2% while monthly rewards on lower tiers will be capped from $25 to $50.

Further, the company announced that it would phase out card CRO staking rewards. The statement said:

“CRO staking rewards will no longer be offered to Jade Green, Royal Indigo, Frosted Rose Gold, Icy White, and Obsidian cardholders from the Effective Date.”

Therefore, the Cronos price is falling as most holders dump their holdings because of the reduction of rewards and the fact that its ecosystem growth has eased. Also, the decline is mostly because of the rising bond yields ahead of the upcoming Federal Reserve interest rate decision.

Cronos price prediction

Cronos price

The daily chart shows that the CRO price has declined in the past five straight days and is currently at its lowest level since November. The coin has moved below all moving averages while the Relative Strength Index (RSI) has moved below the oversold level. Other oscillators have also moved to the oversold level. 

The situation looks dark. However, there is a likelihood that it will bounce back later this week as investors buy the dip. If this happens, the next key resistance level to watch will be at $0.35.

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Source: https://invezz.com/news/2022/05/02/cronos-price-prediction-cro-is-getting-extremely-oversold/