CRO price could be ripe for a strong bullish breakout after forming a highly bullish hammer candle and as its stablecoin growth accelerates.
Cronos (CRO) token jumped to $0.28, up 11.6% from its lowest level this week and 260% above the year-to-date low of $0.08.
The main reason for the recent surge was the recent partnership between Trump Media and Crypto.com, which will see them create a fund to accumulate CRO tokens worth over $6 billion. CRO will also be part of Trump Media’s blue-chip crypto ETF.
Its current price action is due to its ecosystem growth. DeFi Llama data shows that the amount of stablecoins on its network jumped to a record high of $192 million, much higher than the year-to-date low of $18 million.
Most of this growth was driven by the USD Coin (USDC), the second-biggest cryptocurrency, whose supply on Cronos rose by 16% in the last 30 days to $179 million.
Rising stablecoin supply on a blockchain is a positive thing because it sends a sign that its network is growing. The surge is especially important now that the US has passed the GENIUS bill.
Meanwhile, on-chain data show that whales have continued buying CRO tokens in the past few days. Their holdings have jumped by 45,465% in the last 30 days. Similarly, smart-money holdings have jumped by over 373% in this period.
CRO price technical analysis
The daily chart shows that the CRO price bottomed at $0.067, its lowest level in March. It recently rose above the important resistance point at $0.2328, the highest point in November last year.
Cronos price has remained above the 50-day and 200-day Exponential Moving Averages, which is a positive sign. The coin has also formed a hammer candle, a bullish reversal pattern.
Cronos has moved above the weak, stop, and reverse levels of the Murrey Math Lines indicator. Therefore, the token will likely continue rising as bulls target the overshoot point at $0.3174, about 15% above the current level.
