BTC, ETH and altcoins add to yesterday’s gains as TRON’s Justin Sun teases new algorithmic stablecoin.
The total cryptocurrency market is up nearly 2.5% today. BTC gained 3%, while ETH moved up 2.5%. Meanwhile, LUNA is up 3.5%.
DeFi Digest: TRON to issue algorithmic stablecoin
In a blog released Thursday, TRON founder Justin Sun announced USDD, a decentralized algorithmic stablecoin built on the TRON blockchain. Sun says USDD will be issued and enter circulation in early May.
Like the Terra ecosystem’s UST, arbitrageurs will be encouraged to maintain the stablecoin’s peg to $1. For instance, when USDD’s value is less than $1, users can send 1 USDD to the system and receive $1 worth of TRX. The opposite is possible when USDD is over the peg — i.e., users send $1 of TRX to the system in exchange for 1 USDD.
Sun wrote that USDD’s roadmap will have four parts. The first is the establishment of the TRON DAO Reserve to manage the $10 billion in “highly liquid assets raised from initiators of the blockchain industry” backing the stablecoin.
The reserve will set a “basic risk-free” interest rate of 30% per annum to protect users and the coin from potential market volatility. In the letter, Sun encouraged other prominent institutions and blockchains like Ethereum to adopt USDD.
NFT Snapshot: LimeWire raises over $10 million to help build digital-collectibles platform
LimeWire, the company behind the defunct peer-to-peer file-sharing software of the same name, raised over $10 million in a private token sale to build its upcoming music-focused nonfungible-token marketplace. Led by Kraken Ventures, Arrington Capital and GSR, the funding round will give LimeWire the means to grow its team, create partnerships, support artists and curate content on its site.
Investors received early access to LMWR, a token with multiple use cases across the platform, including reduced trading fees, community perks and company events. Additionally, token holders will help decide which artists will be supported and featured on the marketplace. The public sale for LMWR will take place later this year as LimeWire begins its launch campaign to kick off its marketplace’s release.
Top altcoin gainers and losers: Past winners down
- ZKS/USDT +29.1%
- TRX/USDT +15.4%
- LPT/USDT +14.8%
- APE/USDT -7.8%
- API3/USDT -11.15%
- AGLD/USDT -14.26%
On the news of the latest algorithmic stablecoin to join the ranks of UST and others, TRX is up over 15% as traders jump in to ride the profitable narrative.
Meanwhile, recent outperformers APE and GMT see the most downside today, as early longs start to take profit.
BTC technical analysis: Rejected above trendline
BTC surged earlier today, eclipsing 42,000 USDT and reaching almost as high as 43,000 USDT. The market leader started to sell off just over the 50-day moving average on the daily price chart, where buyers are now trying to find support. Bulls continue to knock down pivots and resistances, as sellers seem near exhaustion lately.
ETH technical analysis: Gains capped, for now
ETH continues to find trouble above 3,150 USDT, as the coin now sits just above 3,100. As ETH loses steam against BTC, sellers are finding it easier to defend their resistance from the bulls. For now, a bullish trend remains intact, but with each failed push, buyers could become restless.
Altcoin technical analysis: XMR climbs higher
Privacy coin XMR has not slowed down since late February. The coin has been in a solid uptrend from around 130 USDT to nearly 300 USDT today. Many see budding sanctions on Russia and other nations as a possible reason for the push, as users seek privacy ahead of a changing macro worldview.
XMR is reaching a previous resistance area — a similar spot where a drop occurred in October. For now, buyers remain firmly in control.
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Source: https://www.okx.com/academy/en/crypto-markets-jump-higher-as-tron-announces-algo-stablecoin-crypto-market-daily