STX Coin Is Up By 12.84% – Time To Buy STX Coin?
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
The Stacks (STX) crypto has been on a downward trend for months, but it appears to be making a recovery signaling a good time to buy STX.
The layer-1 blockchain solution focused on bringing smart contracts, and decentralized applications (DApps) to Bitcoin has made a strong comeback. The coin is one of the most impressive coins posting positive gains over the past 24 hours.
This article looks into the Stacks project and analyzes what investors should expect as they look to buy STX.
Stacks: Bitcoin’s Layer 1 Blockchain Protocol
Blockstack PBC developed Stacks. The network came into limelight in 2013 with the help of various capitalists and fund managers.
The network was first known as Blockstack but got rebranded to Stacks in 2020. The mainnet for Stacks 2.0 was then launched in January 2021.
Stacks is an open-source network that allows developers to build apps and smart contracts merged with Bitcoin’s decentralized network.
The Stacks network uses the Proof of Work (PoW)-based Bitcoin blockchain as its base layer. At the same time, it uses its own consensus model, known as proof-of-transfer (PoX). This model helps miners mint new STX tokens by paying in BTC.
While Stacks’ base currency is Bitcoin, its native asset is the Stacks token or STX.
STX is used for fueling the execution of smart contracts, processing transactions, and registering new digital assets on the Stacks 2.0 blockchain.
The latest feature of the STX tokens launched by Stacks in March this year is Stacking. Stacking is when STX token holders lock up their STX tokens for a certain time and earn Bitcoins as rewards.
67% of all retail investor accounts lose money when trading CFDs with this provider.
STX Climbing Up The Charts
STX started the year with only $0.43 but has gone on to gain massively. The coin first entered the $1 mark towards the end of February and was trading at $1.08 at the time. STX’s price value dropped a bit but maintained its $1 price throughout March.
In April, the STX token hit an all-time high of $2.82 before it continued its highs and lows and entered May with a $2.14 value.
However, the $2 price was short-lived as the token plunged to $1 at the end of May. The decline got worse in June as the asset struggled to get back to $1 and constantly traded between $0.9 to $0.7.
This month appears to be a good one for the token. According to CoinMarketCap, the current value of STX is pegged at $1.12, having surged 12.84% in the last 24 hours. This is 60% below its all-time high of $2.82 on 5 April.
STX token price has undoubtedly had a good run in the past and is poised to do more in the future. The price is currently on a recovery path, and so investors looking to buy STX should conduct their due diligence before swooping in.
STX Technical And Fundamental Analysis
On the trading chart, the digital asset’s relative strength index (RSI) currently stands at 49.80. This means it is trading above the oversold margin and below the overbought status.
STX’s 20-day moving average (MA) support price is at $1.11, showing the token is still trading upward. However, its long-term performance on the 200-day MA shows a lower price at $1.09.
Its moving average convergence and divergence (MACD) is pegged above the zero line as the indicator is curved upwards, signaling a reversal. The wolfpack ID strategy indicator emphasizes this bullish momentum as it shows the green line trailing downwards.
Stacks is currently seeing a strong bullish momentum on the weekly technical chart signaling that it might be a good time to buy STX.
Stacks recently announced they were working with decentralized blockchain infrastructure platform InfStones to design an open-source tool for creating and managing Stacking pools.
InfStones launched its own Stacking service recently and is focusing on making Stacks more accessible to clients. However, the platform is now looking at offering more Stacking options for different types of holders.
In May, Stacks launched a Stacks Grants App to accelerate and streamline the grants process of its Stacks Grants Program.
Buy Crypto at eToro, the World’s #1 trading platform!
