The price of Cronos (CRO) has skyrocketed, climbing 27% in the past 24 hours and surpassing more than 121% in the last 30 days. This remarkable breakout has pushed many indicators into overbought territory, reflecting strong enthusiasm from investors.
However, there are some signs that the current bullish momentum may be waning. This could lead to a period of correction or price adjustment.
CRO RSI Indicates Overbought Condition
CRO’s recent price rally has pushed its Relative Strength Index (RSI) to 81.77, putting it deep into overbought territory. This shows that the buying momentum for CRO has been extremely strong, possibly due to increased enthusiasm from investors.
Such a high RSI value implies that the asset may be overvalued. This means that the risk of price adjustment has increased. When an RSI hits levels higher than 70, it typically suggests that the asset may be overvalued. When this happens, a correction may be approaching as traders begin to take profits.
Relative Strength Index (RSI) is a popular indicator used to measure the speed and variability of price movements. RSI values range from 0 to 100, with readings above 70 generally indicating that an asset is overbought, while values below 30 imply that it is oversold.
With CRO’s RSI at 81.77, this indicates that CRO is under strong buying pressure but may be about to undergo a correction or bearish period.
Cronos CMF Remains Positive
The Chaikin Money Flow (CMF) indicator for CRO is currently at 0.14, down significantly from levels above 0.40 on November 6. This decline suggests that buying pressure has eased significantly in recent years. recent days.
Although CMF remains positive, showing that inflows are still greater than outflows, the sharp decline signals that buying momentum is weakening.
The Chaikin Money Flow (CMF) index is an indicator that measures the average volume of money accumulated and distributed over a specific period of time.
While the current CMF of 0.14 remains in positive territory, the decline from previous highs suggests a possible loss of buying momentum. This could indicate a decline in bullish enthusiasm and could lead to a period of correction or even a slight pullback if selling pressure begins to prevail.
Cronos Price Forecast: A Correction Before a Rise Again?
The nearest key resistance for CRO price is located at $0.185, and if the current uptrend continues, it could challenge this level soon. A breach of this threshold could push CRO to its highest price since March 2024.
However, achieving this milestone will depend on the maintenance of buying momentum, which has been very strong in recent sessions.
On the contrary, there are signs that the current uptrend may be losing momentum. This means there is likely a reversal underway. If optimism declines and selling pressure increases, CRO price could return to the support zones around $0.15 and $0.136.
These support levels will be key in determining whether the asset can stabilize and recover or a deeper correction is possible.
