Crypto.com‘s (CRYPTO: CRO) Cryptocurrency hasn’t gotten as much attention as high-altitude meme coins Shiba Inu (CRYPTO: gray hair) And Dogecoin (CRYPTO: DOGE)Last year, but it was still the best performing cryptocurrency in 2021.
Crypto.com Coin from the cryptocurrency exchange of the same name jumped 852% to $0.55, easily outperforming the largest cryptocurrencies, including Bitcoin (CRYPTO: BTC) And Ethereum (CRYPTO: ETH). Crypto.com Coin is up nearly 2,000% for the year by November, and nearly broke $1 at its peak at $0.96, but the year-end selloff across cryptocurrency markets slashed its annual return. The altcoin (any currency other than Bitcoin) has also continued to decline this year as expectations of higher interest rates deflate an asset bubble that has grown during the pandemic.
But at a current price of around $0.48, is Crypto.com a good candidate to cross the $1 mark in 2022 – a milestone that will surely arrive before Shiba Inu, the subject of similar speculation? Before we answer this question, let’s take a step back and look at what makes a digital code unique.
What is Crypto.com currency?
The native currency of the Crypto.com exchange, Crypto.com Coin (CRO) is a versatile cryptocurrency intended for use in payments. It offers a feature that allows businesses to accept currency but receive payments in stable currencies or fiat currency, which removes the volatility risk involved in accepting cryptocurrency as a form of payment.
As a currency created by Crypto.com, the future of CRO is likely to be determined by Crypto.com, which is now the ninth largest cryptocurrency exchange by trading volume. The CRO offers users benefits such as discounts for trading on Crypto.com, and they can earn 10% interest by placing the currency on the exchange, among other perks, including getting a bonus Visa Card.
Crypto.com is also in the midst of a marketing campaign that may be unprecedented in the crypto industry. The Hong Kong-based company has bought the naming rights to the Los Angeles circuit formerly known as Staples Center, home of the NBA’s Lakers and other professional sports teams, in a $700 million deal that went into effect on Christmas Day and will be ready. It lasts for 20 years. This news, announced on November 17, helped push CRO to its peak on November 24.
Recently, Crypto.com hit the airwaves with a new ad campaign featuring movie star Matt Damon, promoting Crypto.com with the tagline, “Fortune favors the brave.”
In many ways, the CRO token is a bet on the growth of the Crypto.com exchange.
Will CRO break $1?
Whether Crypto.com breaks above $1 this year may depend more on the broader crypto market than the performance of the CRO itself, as cryptocurrencies tend to rise and fall together.
Already this year, heavyweights like Bitcoin and Ethereum have come under a lot of pressure, with both currencies declining in double proportions so far in 2022. Market sentiment toward cryptocurrencies and growth stocks appears to be shifting as investors anticipate a tightening of monetary policy this year, with the Council of The Fed has several rate increases this year.
In other words, 2022 could mark another crypto winter, after the euphoria of the past two years.
However, over a longer period of time, the prospects for CRO and Crypto.com look more promising. The marketing campaign seems like a smart move to gain market share in an industry that is just beginning to transition into the mainstream. Many investors still don’t own any crypto, and gaining name recognition through the rebranding of Los Angeles Square and Matt Damon’s campaign will help the company get a larger share of new crypto accounts.
At its current price of around $0.48, CRO would need more than double to break $1. Given the volatility in the cryptocurrency and the potential growth of Crypto.com, the altcoin should eventually get there, even if it doesn’t this year.
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