Crypto Technical Analysis

Compound Technical Analysis: COMP Crypto Heavily Flows Out of Exchanges, Will Price be Impacted?

Compound Technical Analysis: COMP Heavily Flows Out of Exchanges, Will Price be Impacted?

Key Takeaways:

  • The Compound closed the previous day’s trade at $49.52 with a market capitalization of $324 million and a circulating supply of 7,220,579.04 COMP
  • The Comp Crypto received a huge influx of liquidity in recent times, due to which the price seems to have reversed the trend, yet the bearish pressure continues to prevail
Current Price $49.78
Market Cap $359,405,054
Circulating Supply 7,220,579.04 COMP
Total Supply 10,000,000
Vol (24H) $165,186,284
Change (7D) -3.00%

Technical Analysis for September 2022

The Compound crypto price with the fresh rebound is flashing some signs of a probable bullish monthly close for August. However, no clear conformations of positive price action are seen as the bears continue to dominate the rally. However, the price is expected to gear up a little and attempt hard to maintain the lower support until the monthly close.

With the latest bounce, the COMP price appears to have set up a trend line which may form a strong base for the asset in the coming days. The beginning of September could be somewhat consolidated. However, the price may rise to reach above $60. Historically this month has proven to be bearish almost every year. 

Therefore, the possibility of a notable drop back to $50 appears imminent. 

Additional Read: Top Cryptos this Week

Technical Analysis at a Glance

Compound crypto price strengthened its existence during the 2021 rally as it smashed the highs close to a 4-digit figure. Since the beginning of 2022, the asset remained heavily drained and currently has dropped below $50 marking new lows. However, ever since the price flipped the bearish trend in June, the asset is struggling to maintain a firm upswing.

In the coming days, the COMP price may continue with its ascending consolidation without any steep price actions on either side. 

Short-Term A notable buying volume has accumulated and hence the price may continue ranging high 
Mid-Term The COMP price has just rebounded from the lower support and soon may rise & gain with a significant margin
Long-Term The volume has depleted since the beginning of 2022 and hence no steep price action may be expected until volume surges

Technical Indicators & Pivot Levels

Indicator Value (STF/HTF) Action (STF/HTF)
Relative Strength Index(RSI) 58.68 / 30.02 Buy / Sell
MACD -0.09 / -28.90 Sell / Sell
Average Directional Index(ADX) 39.81 / 33.53 Buy / Sell
Ultimate Oscillator 54.12 / 47.31 Buy / Sell
Bull-Bear Power 4.38 / -25.56 Buy / Sell

Pivot Levels

Moving Average Short Term Long Term
MA 5 $48.91 $55.23
MA 10 $47.22 $54.84
MA 20 $47.17 $63.27
MA 50 $49.23 $151.47
MA 100 $55.35 $249.84
MA 200 $56.44 $130.53

The recent bounce has induced some bullish momentum and due to this, the asset is now somewhat bullish in the short-term. All the indicators are pretty bullish while the MACD continues to remain bearish as the selling pressure has not eased completely. However, the strength of the rally & the bullish dominance has increased which may propel the price slightly high. 

Conversely, the long term still remains under bearish captivity and hence may experience an extended price drain ahead. 

Additional Read: Compound Price Prediction

Compound Crypto On Chain Metrics Analysis

  • Ever since the Compound crypto price flipped during the mid of June, the supply on exchanges has dropped significantly. 

Source: Santiment

  • The whales remain skeptical about the upcoming move as the address holding 10K to 100K COMP is accumulating, while addresses holding more than 100K have either halted buying or let off their positions heavily. 

Source: Tradingview

  • The daily active address of Compound has been declining to reach the lows around 355 during the previous day’s trade

Source: Tradingview

  • The MVRV ratio, the ratio between the mean value & the realized value had risen above average levels, but now appears to drop back to the same levels, indicating a bearish trend

Source: Santiment

Compound Crypto Technical Analysis for Short Term

Source: Tradingview

  • The COMP price had maintained its trend within a rising parallel channel that was recently broken amid the latest price drop
  • However, the price has rebounded fairly and seems to be poised to regain the levels above the middle bands of the channel
  • After undergoing a minor consolidation along the average ranges, the price could resume surging high to hit the upper resistance soon
  • As observed in the 4-hr chart, the asset has constantly failed to slice though the upper barriers, and hence a strong influx of volume may only pave way for a breakout. Else the price may continue hovering with the channel.

Compound Crypto Technical Analysis for Long-Term

Source: Tradingview

  • After regaining the yearly highs close to $180, the COMP price dropped heavily to mark the bottoms below $30
  • Since then the price is closely swinging along the 0.236 FIB levels between $46 and $64 for more than a couple of months
  • While the price appears to have halted the bearish trend, a similar consolidation may continue for another couple of week ahead
  • However, reaching 0.38 FIB levels at $83 appears to be a tedious job and may require additional efforts to achieve.

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Is Compound bullish or bearish?

Compound price is bullish in the short-term while in the long-term the asset is extremely bearish.

What is the current RSI for COMP?

The RSI for COMP in the short-term is 58.68 while in the long-term it is 30.02.

Is it a good time to buy COMP?

The Compound price is coiling up and displays the huge potential to surge high and hence may be a good time to buy.

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