James Atkins
Editor
Editor
The STG Stargate Finance price exploded on Friday after being listed on Binance, the world’s largest cryptocurrency exchange. The token increased in value by more than 80%, reaching heights not seen since early June.
It has now recovered by about 100% from its lowest point this week and boasts a market capitalization of over $69 million. Despite the sharp rally, some analysts believe that the STG price still has room to grow in the near future.
According to Michael Graham of Canaccord Genuity, the listing of STG on Binance could lead to further price gains. He has set a price target of $0.50 for the token, which is more than double its current price.
Stargate Finance is a blockchain business that works in the field of decentralized finance (DeFi). It claims to be the first and only bridge that overcomes the three major hurdles that bridges face.
The three main challenges this project tries to cover are related to guaranteed finalization, increased liquidity, and native assets. By implementing these features, users will be able to use DeFi applications more easily.
Users and dAapps can quickly move native assets across chains, thanks to interoperability. Stargate has a total market value locked (TVL) of over $448 million, according to its website.
The STG is the protocol token of the Stargate Finance and helps to run the Decentralized Autonomous Organization (DAO). In exchange for their LP tokens, liquidity providers can receive rewards in STG.
On Friday, the price of STG went parabolic after Binance announced that it would list the currency on its platform. This implies millions of people will be able to purchase the coin using Binance.
The news caused a buying spree that pushed the price from $0.014 to $0.034 in less than 12 hours.
The problem with these sudden spikes is that they are often followed by an equally sharp correction. This is what happened to the STG price on Saturday as it pulled back to $0.025.
The good news is that the correction appears to be over and the STG price is once again on the uptrend. The next target for the bulls is $0.04 and if they can push the price above this level, we could see a move towards $0.05.
In the past, we’ve seen that cryptocurrencies will jump in value when they’re listed on major exchanges like Coinbase and Robinhood. Unfortunately, these increases don’t last long because as soon as investors see them start to make money, they sell it off.
Stargate Finance’s value increased when OmniBTC merged with Layer Zero Labs and the platform. This makes it easy for users to OmniSwap among EVM chains.
The recent listing of STG on Binance US is also a positive development. This will help increase the liquidity of the token and could lead to more people buying it.
Overall, we believe that the STG price is in a good position to continue its uptrend in the near-term. Our target is $0.04 in the next few days.
Data Source: Tradingview
The four-hour chart indicates that the Stargate Finance value has been going down recently. This decline saw it go to a low of $0.33 this week. But on Friday, after the Binance listing, it went up very quickly.
As it reached toward the $0.5452 resistance level, it surpassed the previous high on June 28, which was at $0.5452. It also passed both the 25-day and 50-day moving averages.
In conclusion, the pumps that happen after a listing are usually only temporary. There is a strong chance that the coin will drop and move below support at $0.50. If this does occur, traders can go short with targets at $0.45 and $0.40
Overall, the market is in a consolidation phase as the bulls and bears battle for control. The next few days will be crucial in determining the direction of the market.
I have been writing copy for blockchain-related projects since 2017. I understand the importance of being able to communicate clearly and effectively with both technical and non-technical audiences. By leveraging my understanding of the crypto industry trends, I can help increase adoption in this rapidly evolving landscape.
