Compound Price Prediction: COMP Price Rises above Major EMAs

• Compound price is currently trading at $69.95, reflecting a shrink of -0.28% during the intraday session.
• The year-to-date return of COMP price is 124.90%, and the three-month return is 72.37%.
• Compound price sustains above the 20,50,100, and 200-day EMA.

Compound price has been bullish on the higher time frame since mid-June 2023. The previous month return, which was 6.68%, vigorously indicated the inclined spike in the price-action reflects the dominance of bulls in the market. 

Since early July, Compound price has shown a vigorous rally from the $51.81 to the $85.90 resistance level while achieving an annual high on July 16, 2023. But the price was halted, and a resistance level formed at $85.90. 

Stocky dominance of bulls sustained for a while, as the price touched the $85 mark COMP price witnessed the arrival of bears in the market. Hence, bearish momentum shredded the price again, the same as the previous scenario, resulting in a weekly return of -4.37%.

If the market structure sustains bearish momentum and the next candle falls below the previous candle, there is a high probability the price will melt down to the $68 level.

Furthermore, if the bullish momentum rises and the upcoming candle rises upward, the Compound price will encounter a hike in the range of $77 level.

Technical Analysis

The Relative Strength Index (RSI) trades at 57.88 during the intraday session. RSI denotes the strength in the market as the COMP price witnesses slightly rising momentum.

The Chaikin Money Flow score is 0.03, as upward momentum has been sustained in the past 24 hours. The CMF indicates the uniform rise in the participation of buyers in the market remains. 

The Compound price is currently trading above the 20, 50, 100, and 200-day EMA, indicating strength in the market. Hence, there is upward momentum in the price for a long time. 

The long and short ratio is 1.0525, with shorts at 48.72% and longs at 51.28%, representing strength in the market as the COMP price observed a surge in price action in the last 24 hours.

Conclusion

In the long-term, Compound price has shown a colossal hike while witnessing the annual high in June-July, 2023. From there, COMP price has shown a downward trend. Investors should look for buying and selling opportunities in the short term, as, in the long term indicators represent the bullish rally in the market.

Technical Level

Major support: $23.70 and $58.20

Major resistance: $86.30 and $74.10

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.