Cronos price rose for four consecutive days, reaching its highest level since February 5 after its parent company, Crypto.com, announced a partnership with Donald Trump’s Trump Media to launch crypto ETFs. It jumped to a high of $0.1050, up by 55% from its lowest point this year.
Trump Media and Crypto.com deal
The main reason why the CRO price continued rising is that Crypto.com inked a partnership with Truth Media. This deal will see the two companies launch their crypto exchange-traded funds in the coming weeks.
The focus on these ETFs will be on quality blue-chip cryptocurrencies launched in the United States. Some of the potential coins will be Ripple (XRP), Cardano (ADA), Chainlink (LINK), Polkadot (DOT), and Stellar (XLM).
The announcement was notable for the Cronos price because it was developed by Crypto.com, one of the biggest players in the crypto industry. Indeed, Cronos was known as Crypto.com coin before its rebrand in 2021.
It was also notable because of its recent roadmap that focuses on artificial intelligence and linking traditional finance and crypto industry. One of the tasks is the creation of ETFs backed by the CRO token. The proposal said:
“CRO lies at the heart of both these monumental efforts. As the ecosystem evolves, CRO will play a pivotal role as the central economic engine, driving adoption and enabling seamless integration for the next generation of crypto users.”
The proposal also called for creating the Cronos Strategic Reserve (CSR). This reserve will be created by undoing a 70 billion token unlock in 2021. As a result, the total supply of the CRO token will rise from the current 30 billion to 100 billion, diluting existing holders.
Cronos upgrade ahead
The CRO price jumped ahead of the upcoming Cronos zkEVM mainnet upgrade scheduled on March 26. This upgrade will have a 1-2 downtime for the network. It will introduce smart account SSO, making it easier fo users to log in with Google, Apple ID, and Mobile.
The upgrade will also lay the foundation for the zero-knowledge gateway, which will set the stage for fast zk-chains interoperability. Crypto prices often jump ahead of a major upgrade.
Meanwhile, there are signs that the Cronos DeFi ecosystem has stabilized as the total value locked (TVL) has jumped to $424 million from this month’s low of $330 million. The biggest players in the ecosystem are VVS Finance, Tectonic, Orby Network, and Veno Finance.
However, Cronos zkEVM has not gained traction among developers and users as its TVL has dropped to $13 million.
Cronos price forecast
CRO price chart by TradingView
The daily chart shows that the CRO price has formed some strong technicals. It bottomed at $0.0715, where it has struggled to drop below several times since August last year. This is a sign that it has formed a quadruple-bottom whose neckline is at $0.2332, its highest point on December 4.
CRO price has also moved slightly above the 50-day moving average, while the Relative Strength Index (RSI) has drifted upwards. Therefore, the Cronos price will likely continue rising as bulls target the key resistance point at $0.133, the 61.8% retracement level that is about 30% above the current level. A drop below the key support at $0.09 will invalidate the bullish view.
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