API3 Coin Price Explodes with 100% Surge in 24 Hours! Whats Behind This API3 Price Surge?
API3 has become the biggest winner, as its price shot up by an impressive 100% in 24 hours. This increase has caught the interest of both investors and market experts, suggesting a possible bright future for API3 in the world of cryptocurrency. Lets take a look at this API3 price article in more detail.
What is API3 Coin?
API3 is a team effort that started in December 2020. Their goal is to make decentralized APIs (dAPIs) for decentralized applications (DApps) using Airnode, which is a network of decentralized oracles.
To put it in simpler terms, dAPIs are a way to offer regular API services but in a design that works directly with and provides off-chain data, like price information. APIs are a common way of doing things in regular software and applications that are centralized.
API3 wants to make dAPIs the usual choice for decentralized applications, and theyre doing this through their Airnode technology.
How has the API3 price moved in recent days?
As of today, the price of API3 Token is $2.86, and it has experienced almost 100% increase in the last 24 hours. The 24-hour trading volume is $1.55 billion, and the market cap stands at $247.03 million. API3 Tokens market dominance is 0.01%.
The highest price ever recorded for API3 Token was $10.32 on April 7, 2021, while the lowest was $0.844165 on August 17, 2023. Since its all-time high, the lowest price reached was $0.844165 (cycle low), and the highest was $2.90 (cycle high).
Currently, the sentiment for API3 Tokens price prediction is bullish, and the Fear & Greed Index is at 52, indicating a neutral sentiment.
In terms of supply, there are 86.42 million API3 Tokens in circulation out of a maximum supply of 114.86 million API3 Tokens. The current yearly supply inflation rate is 52.83%, which means that 29.87 million API3 Tokens were created in the last year. API3 Token is currently ranked #63 in the Ethereum (ERC20) Tokens sector based on market cap.
Why the API3 price is rising?
According to a user named Sell When Over on Twitter (@sell9000), there are reasons why the price of API3 Token is going up. One significant factor is an extremely negative funding rate for API3, which is similar to what happened before with UMA. Right now, the funding rate is very negative. This makes it costly to hold onto long positions, encouraging buyers to push the price higher.
Additionally, DWF (Digital Finance Wallet) has given a $1.5 million loan for market making. This loan serves as an incentive to increase the price to levels where it becomes profitable. DWF issued a $1.5 million market making loan with an option to buy the tokens between $2.75 and $4.25 at the end of the term. This means they need to increase the price for the loan to be profitable.
In simple words, negative funding rates make it expensive to hold certain positions, and market making loans provide an incentive for people to boost the price of a token to make a profit. In this case, DWF has issued a loan, and to make that loan profitable, they need to increase the price of API3 Token.
How high can the API3 price go?
Over the past year, API3 Token has demonstrated an impressive price surge, soaring by 132%. This outstanding performance has positioned API3 among the top-performing assets, surpassing 80% of the top 100 cryptocurrencies.
Notably, API3 has outpaced the growth of both Bitcoin and Ethereum during this period. The token is currently trading above its 200-day simple moving average, indicating a sustained positive trend in its price movements.
Furthermore, API3 has consistently exhibited strength compared to its token sale price, showcasing favorable market dynamics. In the last 30 days, API3 has experienced 17 green days, accounting for 57% of the period, highlighting its recent positive momentum.
The token is presently trading near its cycle high, underlining its resilience and potential for sustained growth. Additionally, API3 boasts high liquidity, supported by its substantial market capitalization.
However, its essential to consider the yearly inflation rate of 52.83%, which could impact the long-term value proposition and requires monitoring for potential effects on investor sentiment and market dynamics.
Therefore, based on the above points, there is a projection that API3 Token will likely fluctuate within a range of $2.55 to $6. If the upper price target is achieved, this suggests a potential increase of 102%, with API3 reaching $6 in the year 2024.
Buy Cryptos with Bitget with the CHEAPEST Fees
Bitget stands out as a reliable crypto exchange. It provides a user-friendly interface, making it easy for both beginners and experienced traders to navigate and make transactions at the lowest fees on the market. To get started with Bitget, you need to create an account, complete the necessary KYC procedures, and then you can begin trading a variety of altcoins available on the platform.
> CLICK HERE TO BUY CRYPTOCURRENCY<
Read more: https://cryptoticker.io/en/whats-api3-price-surge/
Text source: CryptoTicker
