StratoVM Price Prediction – Should You Buy SVM Token?

SVM token—the core currency of the first EVM-compatible Bitcoin L2 project StratoVM—has been on fire since making its debut on Uniswap a few days ago, soaring by almost 7,000% to trade at $0.205.

This strong price action positions the Layer-2 token as one of the top crypto gainers over the past week. 

However, its market cap, according to CoinGecko data, is just $3.6 million at press time, which suggests that the token may be potentially undervalued. 

Now, investors are wondering if SVM is worth buying.

What is StratoVM?

StratoVM is marketed as a decentralized Layer-2 solution that blends Ethereum’s DeFi capabilities with Bitcoin’s security. 

The major goal of this project, as specified on its official website, is to offer EVM compatibility and a modular architecture that will turn Bitcoin into a hub for all kinds of decentralized applications and aid the smooth migration of Ethereum DeFi applications to the blockchain. 

With that, it plans to expand Bitcoin’s utility within the DeFi space, ensuring that applications and protocols can benefit from the blockchain’s deep-rooted decentralization and unparalleled security. 

Moreover, being a Layer-2 project, it addresses the major pain points of Bitcoin like slow trade execution and high costs by enabling fast transactions with almost instant finality. 

StratoVM landed on testnet late last year so that developers, users, and protocols can explore its features before its full launch. At press time, not less than 2,219,159 transactions and 113,312 wallet addresses have been recorded in the experimentation stage. 

While the date for its mainnet launch has not been made public, the project has already airdropped its SVM tokens to those who already participated in the testnet. 

SVM Price Analysis

Following its launch on Uniswap a couple of days ago, SVM has been showing strength and working its way up the crypto chart. 

The Layer-2 crypto has achieved a four-digit pump in the last seven days, thanks to the latest market-wide rebound and the excitement surrounding its upcoming mainnet launch. 

A dive into the technical aspect of SVM signals a short-term bullish momentum, with $0.023 acting as its immediate support zone. As long as the price stays above this level, the SVM market remains in a strong position to push higher.

The key resistance levels can be identified at the $0.25 mark, the token’s ATH. If SVM breaches this technical level, it could pave the way for more upside, unlocking new levels. On the downside, support at $0.02 remains crucial, acting as a buffer against deeper corrections. Below that, $0.001 offers the next safety net. 

If sellers gain control, SVM/USD could test $0.001, a level that might attract significant buying interest. The MACD histogram’s transition towards positive territory hints at potential strength, but a failure to sustain gains could lead to further downside exploration. 

SVM Price Prediction 

Short-Term

A zoomed-out look at the daily chart shows a bullish picture, with buyers maintaining strong dominance over their seller counterparts. However, since the token is already in the overbought region, a short-term correction is expected. 

In such a case, SVM may retrace to the $0.14 support zone in the coming days. This short-term reversal is more likely to be followed by another pump, fueled by a potential CEX listing and increasing participation in its testnet. 

Long-Term

The impressive figures already recorded in StratoVM’s ongoing testnet stage shows that blockchain users are really interested in what it has to offer. 

The project’s community engagement has also been a driving force, thanks to its activeness on social media platforms like X, Telegram, and Discord. This is in addition to its strategic partnerships with at least 50 partners, including Celestia, Intract, Solo Chain, and Uniquid. 

The combination of these elements has been driving the buzz around StratoVM, boosting investor interest and propelling the parabolic price growth seen with SVM. 

However, in spite of the early success, the only factor that could position StratoVM as a key contender in the BTCFi landscape is its eventual arrival on mainnet. 

The upcoming launch–which is expected to happen before the end of Q1 2025—will be crucial in sustaining the interest around the project, potentially driving up the demand and price of $SVM in the long run. 

Should You Buy SVM?

Considering the enormous growth potential within the Bitcoin DeFi space and the game-changing innovations promised by StratoVM, it could be a worthy investment option for both short and long-term investors. 

Its low-cap status is another reason many believe it can deliver outsized returns to early investors. 

However, since the market moves in waves and no one can accurately predict what its next direction will look like, investors may consider diversifying into similar utility-driven cryptos like Solaxy (SOLX), which already raised close to $25 million in the early stages of its presale. 

Much like SVM, Solaxy will soon launch its Layer-2 roll-up architecture, which will be key in addressing the issues plaguing Solana, including network congestion, scalability limitations, and constant downtime, especially during periods of heavy traffic. 

Transactions will be processed off-chain batch by batch and the results will be sent back for confirmation. This innovative approach helps reduce the workload on Solana without sacrificing its security. 

The next attractive aspect of Solaxy is its multichain appeal. While optimizing blockchain performance with its battle-tested rollup, the Layer-2 chain will also act as a bridge between Solana and Ethereum, thereby streamlining the transfer of assets across both chains.

Staking is another functionality that has been intensifying the FOMO vibe around this project. Those who participate in its presale right now will still enjoy an annual percentage yield of approximately 160%. 

Considering the fact that Solaxy is the first-ever Layer-2 project on Solana, many see it as a beta bet on the Layer-1 mainnet and are eyeing anywhere between 50x and 100x returns. 

Visit Solaxy