Canton Network Soars 36% Following DTCC Approval: Is This the Birth of a New Trend?

Canton Network has experienced a remarkable rise of 36% in just 24 hours, driven by strong market sentiment and increased trading activity. The surge follows the announcement of significant partnerships, particularly with the Depository Trust & Clearing Corporation (DTCC), which has paved the way for new tokenized treasury infrastructure.

Key Takeaways

Canton Network’s price jumped 36% in the last 24 hours, indicating strong market confidence.
The surge was fueled by partnerships, especially with the DTCC, which received a favorable regulatory letter.
The price recently overcame local resistance levels, contributing to a bullish market structure.
Traders are advised to remain optimistic about CC despite a potential minor dip.
A drop below $0.095 could signal weakened bullish sentiment.

Canton Network has seen an impressive increase of 36% over the last day, with its trading volume soaring by 307%. This increase in price highlights a robust conviction among traders, particularly as this spike occurred over a weekend.

The catalyst for this rise was the announcement of key partnerships for Canton Network. Recently, the platform partnered with the RedStone [RED] oracle, but the latest collaboration with the Depository Trust & Clearing Corporation (DTCC) is particularly noteworthy. The DTCC has received a non-action letter from the U.S. Securities and Exchange Commission, allowing the establishment of a tokenized treasury infrastructure on the Canton Network.

Since December 18th, Canton [CC] has surged by 54.3%, successfully converting the previous resistance range of $0.079-$0.082 into support, thereby changing the market sentiment to bullish.

Canton Network Soars 36% Following DTCC Approval: Is This the Birth of a New Trend?

Swing Traders Feeling Positive About CC After Recent Activity

Canton Network 1-day Chart

Source: CC/USDT on TradingView

On December 19th, the 12-hour price structure of Canton Network showcased a bullish shift as it breached the previous swing high at $0.079, alongside breaking above the local resistance at $0.082. Over the past few days, the On-Balance Volume (OBV) has shown a consistent upward trend, indicating a strong demand for CC amid above-average trading volumes. This combination demonstrates a solid sense of confidence in the market.

Canton Network 1-hour Chart

Source: CC/USDT on TradingView

However, there has been a recent bearish divergence identified between momentum and price, suggesting a potential slight price retreat. Traders should be aware that the technical and psychological support at $0.01 will likely be tested soon.

Assessing the Bearish Scenario – Why It May Be Unlikely

The identified bearish divergence, coupled with a significant weekend rally, provides the basis for the bearish argument. In this scenario, it's possible that CC may fully retrace its gains made since Friday, as some investors could choose to sell following the news.

Traders' Approach – Stay Optimistic on CC

A retest of the $0.01 support level presents a favorable buying opportunity for traders focusing on shorter timeframes. Conversely, a drop below $0.095 would indicate that bullish momentum has lessened, serving as a trigger for the bulls.

The overall long-term market structure and increasing trading volume indicate that a trend might be emerging, supported by strong performance from Bitcoin [BTC] anticipated for Monday.

Traders should remain vigilant for any developments. Currently, the positive market sentiment holds good potential, offering clear indicators for action.

Final Thoughts

Disclaimer: This information is not financial, investment, trading, or any form of professional advice and solely reflects the writer's opinion.