- COMP is trading at massive lows and has broken the $100 support.
COMP adoption is growing, and overall, DeFi adoption is growing.
If the broader market turns bullish again, COMP could give investors a high ROI.
Compound (COMP) has underperformed the broader market since late 2021. That’s despite the fact that the entire cryptocurrency market has been in a bear market since November. While its price action has hurt those who got in at its peak, Compound is currently trading at a good entry point for anyone who would love to get in now.
From highs of over $800 last year, Compound just recently broke through the $100 mark, which is key long-term support. This could indicate that lower prices could be coming in the short term, especially now that the broader market is bearish.
However, despite the current price movements, Compound still stands out among one of the most fundamentally strong cryptos in the market. Compound is one of the largest DeFi protocols in the market and currently has a total value locked of $6.41 billion. This means as the DeFi market grows, so will the value of Compound.
So far, things look pretty good for DeFi. Billions of dollars are now in DeFi, and the numbers are rising. Even bankers are getting out of centralized finance to try a hand in DeFi. At the same time, crypto regulations are getting better, which means Compound and other DeFi protocols are likely to grow even bigger going forward.
Compound at a good entry point
Source: TradingView
The best time to buy any asset is when it’s trading at massive lows. That’s when wealth is made. In the case of Compound, it is trading at massive lows, and if the market turns bullish again, COMP is one of those that could give you massive gains.
Summary
Compound is currently trading at massive lows. With DeFi on a growth path, COMP could record massive growth once the market turns bullish.
The post Why Compound (COMP) could be a high potential buy today appeared first on Coin Journal.
