dYdX Fundamental Analysis
DYDX is a governance token of the dYdX community that allows users to govern the dYdX Layer 2 Protocol, to mine the rewards and participate in the staking pools, as well as receive trading discounts on its exchange. The token helps to maintain the communication between traders, liquidity providers, and partners.
The main goal of the project is to build the fastest, cheapest, and most powerful decentralized exchange. dYdX platform has already over 60 000 unique users and has a value of around $11 billion in perpetuals and margins and more than $25 billion in flash transactions from dYdX Liquidity Pools.
The total supply of dYdX is 1 billion tokens that are to be distributed in a period of 5 years. Out of this amount, 27.7% of the coins will go to the previously active investors. 15.27% tokens will be used to pay the official team members, including the founders, developers, advisers, etc. And 50% of all the tokens are reserved for the community members including liquidity providers, traders, stakeholders, and the users who achieved some milestones.
The project recently partnered with StarkWare which applies its Layer 2 scalability engine for improving the non-custodial trading on dYdX exchange. For instance, the gas prices will be cut to zero, the minimum trade amount will be reduced to as low as possible and the fees will become much lower. Layer 2 scaling solutions in the form of Roll-Ups are made to offload the execution and thus free up an Ethereum layer.
Another advantage of Layer 2 is fast withdrawals, so users don’t need to wait to get their funds. And at the same time, the update improved security and privacy by implementing zero-knowledge rollups. To start trading on the platform one only needs the deposit of $10.
dYdX Price Chart
Since the dYdX token was deployed at the beginning of September, the chart data is only available for this short period of time. According to the graph, the token’s price was growing ever after the launch, showing a 73% price increase in September. The initial price of $12 by the moment of publishing increased up to $19.9 per token. An all-time-high of $29.73 was registered on September 30 and after that price went through the correction.
As the project seems to be prosperous due to its concept and technology the analysts expect its price to continue growing up to $75 per token by the end of 2021.
dYdX Technical Analysis
Despite the fact that 100% accurate technical analysis for dYdX cryptocurrency is hardly possible, on this advanced technical analysis tool by TradingView you can see the real-time aggregated DYDX buy-and-sell rating for selected timeframe. The summary for DYDX/USD is based on the most popular technical indicators — Moving Averages, Oscillators and Pivots.
dYdX Price Prediction
Below we have collected the most reliable price projections for dYdX (DYDX) from popular forecast platforms.
#1. WalletInvestor DYDX Price Prediction for 2021, 2023, 2025
According to WalletInvestor, dYdX price will grow from $12.85284 to $26.967 in one year. That makes DYDX an awesome investment. The long-term earning potential is 109.81%. Predicted price for the end of 2026 is $76.974.
#2. TradingBeasts DYDX Price Prediction for 2022
Answering the question about if dYdX is a good investment, TradingBeasts say a resounding no. In the 2021 perspective, this coin price is predicted to reach $12.099 with a growth to $22.698 by the end of 2022.
#3. DigitalCoin DYDX Price Forecast for 2021, 2022, 2023, 2025
In DigitalCoin analysis, the price of dYdX cryptocurrency will rise in the next 5 years starting from $12.5281192 as of today’s price to $45.9539379. It will go up to $20.6524026 by 2022 and continue its growth in 2023–2024. Based on this forecast, dYdX is a profitable long-term investment.
As it can be clear from the analysis cited above, dYdX (DYDX) projections are rather contradictory. There is no universal consensus either about positive or negative future DYDX price movements. Indeed, the future possible growth depends on various factors: announcements, new technological solutions of the dYdX projects, the crypto environment in general, legal position, and so on. We kindly remind you that before investing in any cryptocurrency, it is essential to do your own research (DYOR).
Disclaimer: This article should not be considered as offering trading recommendations. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
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