- Stacks price has risen in the past seven straight weeks, breaking a record.
- StackingDAO’s TVL has jumped to over $11 million, a few weeks after launch.
- The Total Value Locked (TVL) in its ecosystem jumped to a record high of almost $60M.
Stacks (STX) price continued its bullish comeback this week even as the crypto and stocks market remained on edge. The coin jumped to a high of $1.8, its highest level since March 2022. It has soared by more than 700% from its lowest point in 2023.
Also, it has risen in the past seven weeks straight, breaking a personal record. Its previous record was a four-straight-month increase in early 2021.
Bitcoin layer 2 pioneer
Stacks is a leading blockchain project that aims to supercharge the use of Bitcoin in the industry. It is a layer-2 network for the biggest cryptocurrency in the world. As a sidechain, Stacks solves the challenges that exist in Bitcoin, a network that does not have smart contract features.
Stacks has been used to build several dApps like Alex, StackingDAO, Arkadiko, and CityCoins among others. According to DeFi Llama, the Total Value Locked (TVL) in the ecosystem has jumped to a record high of $59.86. Most of these assets are in ALEX, StackingDAO, and Arkadiko. In STX terms, the TVL has pulled back to 37 million STX.
Stacks price has done well in the past few months, helped by the strong performance of Bitcoin. In 2023, Bitcoin jumped from below $20k to over $45k. In the same period, Bitcoin Ordinals were launched, becoming highly popular among traders. In 2023, the total sales of Bitcoin Ordinals surged to over $1 billion.
Looking ahead, STX price will react to the upcoming Nakamoto upgrade, which will increase the network speed and stability. After this upgrade, Stacks blocks will be issued every 5 seconds, reducing transaction costs and network congestion. Also, sBTC will make it easier for people to use their Bitcoins in the Web3 ecosystem.
From a macro level, Stacks price will react to the upcoming US non-farm payrolls (NFP) data. These numbers will provide more information about the state of the economy and help to predict the next Fed actions.
Stacks price forecast
The weekly chart shows that the STX price has been in a strong uptrend in the past few months. Most recently, Stacks price flipped the important resistance at $1.3158 into a support level. This price was the highest swing in March last year. By flipping that price, the token invalidated the double-top pattern.
The Stacks price has also risen above the 50-week and 25-week Exponential Moving Averages. Further, the Relative Strength Index (RSI) has moved to the extreme overbought level. Therefore, the outlook for the Stacks price is still bullish, with the next level to watch being at $2.
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