Centrifuge (CFG) Price Could Increase Sharply In The Near Future As RWA Steals The Limelight
The price of Centrifuge (CFG) has generated long-term bullish signals and broken above short-term resistance. It is expected to increase significantly in the near future.
Centrifuge is a protocol that brings Real World Assets (RWA) into the DeFi (Decentralized Finance). Recently, the RWA sector has garnered significant attention from investors, as it has become a focal point of discussion at Token2049 and has received high praise from the Federal Reserve System (Fed) for its potential for future development.
The price of Centrifuge (CFG) has been trading within a range of $0.17 to $0.45 since late April 2022. The price has repeatedly tested both the support and resistance levels of this range.
After being rejected by the upper range resistance at the end of July 2023 (red arrow), the CFG price retraced towards the lower range support. However, there is a positive sign as the price did not drop to the lower range support but instead formed a higher low at $0.2 (green arrow). This indicates strong buying interest at a lower level and is the first signal of a new uptrend.
The weekly RSI (Relative Strength Index) has formed a bullish structure and crossed above the 50 level, supporting the beginning of a new uptrend.
Therefore, the price of CFG is likely to rise to the upper range resistance at $0.45 in the near future. Breaking above this level could lead to a strong upward movement towards the next significant resistance at $0.85.
The daily chart supports the bullish view from the weekly timeframe. It shows that CFG has broken above the horizontal resistance at $0.28.
This action suggests that the bulls have taken control of the price action in the short term.
The daily RSI is also supportive of further gains as it is above 50 and trending upwards.
There is a minor resistance level at $0.32, but the bulls are likely to break above this level and advance towards the next resistance at $0.39.
The most likely outlook indicates that the price of Centrifuge (CFG) will increase in the near future. The first potential target for this movement is $0.39, with higher targets at $0.45 and $0.85.
Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.
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