Buckle up for Cronos [CRO], Crypto.com’s native token, as Q2 climaxes with a thrilling twist. Once a darling of the top 100 ETH Whales in Q1, CRO has been dumped for other altcoins in Q2. So, evaluating Cronos’ price prediction is crucial.
At the peak of Q1’s bullish momentum, CRO was among the top-10 tokens held by the top 100 ETH Whales. However, according to Whale Stats, interest dropped in Q2, with CRO ranked no. 36 among the top ETH Whale holdings as of press time.
With this sharp U-turn among ETH whales, how do the Q2 2023 odds stick up for CRO? Let’s explore the charts for some cues.
CRO on a long-term downtrend; faces key price floor
Source: CRO/USDT on TradingView
Zooming out of the daily charts to capture late 2022 price action, we found that CRO has been below a key trendline resistance. So, it is still stuck with long-term downtrend momentum.
In early 2023, bulls found steady ground at $0.055 and fronted a rally. The upside move coincided with a strong BTC rally from $16k to $28k in Q1.
Source: CRO/USDT on TradingView
Although CRO hiked by over 50%, closing above $0.085 between January and February, the Q1 overall performance eased to around 25% after a sharp retracement in March.
The overall price action since Q1 2023 chalked a range (yellow) with extreme levels at $0.055 (January/December lows) and $0.0867 (Q1 price ceiling).
In April and May, CRO recorded mixed results. It consolidated narrowly between $0.066 and $0.071 in early April before rallying to $0.084 at the end of April.
In May, CRO reversed all the recovery gains made since mid-March. It plunged from $0.084 in late April to around $0.059 at press time.
The price hovered below the March swing lows at press time. Now, CRO could retest the range lows/December lows of $0.055, with Bitcoin [BTC] back to the $26k zone at the time of writing.
A weak BTC could tip sellers to extend gains to the immediate support level and price floor of $0.055. The level was also a price floor back in December 2020.
It remains to be seen if bulls will defend it again. If that happens, CRO could see a recovery, especially if BTC reclaims $28k and surges.
However, if the $0.055 price floor cracks, sellers could seek extra gains at $0.04 or $0.02.
The OBV was relatively flat throughout May, denoting stagnated demand for CRO. But the RSI retreated to the lower range in the same period, highlighting increased selling pressure.
An uptick in OI in mid-May didn’t pump CRO
Source: Coinglass
How much are 1,10,100 CROs worth today?
Despite the rising selling pressure in May, there was a sharp uptick in open interest (OI) in mid-May. The OI rose from less than $5 million to over $6.5 million in mid-May, but CRO prices didn’t react as much.
On the on-chains metrics front, CRO saw a sharp spike in supply on exchange in early May. The move coincided with a breach of the mid-range level of $0.071, exposing it to more aggressive selling.
The spike in supply on exchanges denotes a rise in short-term selling pressure. The metric hasn’t declined since its sharp rise in May, confirming sellers’ upper hand.
Source: Santiment
Interestingly, there were a handful of whale transactions despite ETH whales preferring other altcoins over CRO.
However, it remains to be seen if whales will inflict a reversal at the price floor of $0.055. So far, the U.S has overwhelmingly passed the U.S debt ceiling deal, which has curtailed the market for days.
Now, the focus remains on the FOMC meeting in mid-June. Hence, Q2’s bearish pressure isn’t over yet.
