Wall Street remains optimistic on Circle Internet Group Inc. (NYSE:CRCL), and Cathie Wood is still adding shares to her portfolio. Yet CRCL stock continues moving in the opposite direction. After an explosive post-listing rally, the stock has surrendered a significant portion of its gains, with sellers firmly controlling the trend. As weakness begins to outweigh bullish fundamentals, traders are increasingly questioning whether CRCL stock is heading for a fresh test of its $50-$52 support zone, which coincides with its 52-week low.
Cathie Wood Stays Bullish, But Investors Keep Selling
Cathie Wood’s ARK Invest recently expanded its position in Circle Internet Group, bought more CRCL shares while exiting from Robinhood. The move reinforces ARK’s long-term conviction that Circle is well-positioned to benefit from the accelerating adoption of regulated stablecoins and digital payment infrastructure. Wall Street has echoed a similar view. The latest analyst consensus maintains a Buy rating on CRCL stock, with an average 12-month price target of $127.54, implying nearly 93% upside from current levels.
Despite these bullish signals, investor sentiment has remained cautious. Rather than following institutional buying, the market has continued rewarding sellers as profit-taking and weakening momentum overshadow Circle’s longer-term growth narrative.
CRCL Stock Price Selloff Raises Fresh Downside Risk
CRCL stock has undergone a meaningful shift in trend. After failing to sustain gains above the $140 region on two separate occasions, the stock completed a double-top formation, a pattern widely viewed as an early indication that bullish momentum has exhausted itself. The subsequent breakdown has been accompanied by a series of lower highs and lower lows, confirming that sellers currently hold the upper hand.
Momentum indicators paint a similar picture. The Relative Strength Index (RSI) remains below the neutral 50 mark, while the stock continues trading beneath key short- and medium-term moving averages. Together, these signals suggest buying interest remains limited despite repeated institutional accumulation. The next major battleground now lies around $50-$52, an area that aligns with CRCL stock’s 52-week low and a key historical demand zone.
If selling pressure persists, this region could become the market’s next downside target. A break below that support would likely trigger another wave of liquidation, further strengthening the bearish outlook. On the upside, bulls must first reclaim the $72-$75 resistance area before attempting to challenge higher barriers near $84 and $105. Until those levels are recovered, any short-term bounce is likely to be viewed as a relief rally rather than the beginning of a sustained reversal.
Will CRCL Stock Price Rebound or Revisit Its 52-Week Low?
Despite the ongoing selloff, Circle’s long-term investment case remains largely intact. The company continues to benefit from growing stablecoin adoption, improving U.S. regulatory clarity, and rising institutional interest in digital payment infrastructure. Those fundamentals explain why Wall Street still maintains a bullish outlook and why Cathie Wood continues adding CRCL stock despite recent weakness.
However, the market is currently prioritizing technicals over fundamentals. The double-top pattern formation, weakening momentum, and series of lower highs suggest sellers remain firmly in control. Unless buyers reclaim the $72-$75 resistance zone and invalidate the bearish setup, the path of least resistance points lower.