Compound is an algorithmic, autonomous interest rate protocol built for developers, to unlock a universe of open financial applications. Compound is managed by a decentralized community of COMP token-holders and their delegates, who propose and vote on upgrades to the protocol.
Observers of Compound see the critical factor behind Compound’s growth over the past 24 hours in January this year as the launch of a new DeFi cryptocurrency called YAM for the Yam protocol. Compound is a coin supported to “farm” the cryptocurrency; demand for the asset has picked up, increasing the ongoing price. A year ago, Compound proved its mettle when all the other cryptos fell.
Today’s Compound price is $58.36 with a 24-hour trading volume of $119,596,606. Compound is down 13.58% in the last 24 hours. The current CoinMarketCap ranking is #94, with a live market cap of $415,969,593. It has a circulating supply of 7,128,087 COMP coins and a max. supply of 10,000,000 COMP coins.
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Bitcoin, Ethereum, QTUM, and Compound Daily Price Analyses – 26 March Morning Price Prediction
Overview
Compound Overview
Compound Overview
| Coin | Symbol | Price | Marketcap | Change | Last 24h | Supply | Volume (24h) |
|---|---|---|---|---|---|---|---|
 | COMP | $ 57.74 | $ 398.40 M | 15.90% | 6.86 M | $ 74.81 M |
What is Compound?
Compound is a special decentralized finance (DeFi) protocol that is popularly known to pioneer yield farming. The protocol runs on the Ethereum network, and it essentially allows its users to borrow and lend money without any central entity or governance. The success of this project is a direct boost to the Ethereum token as well.
The DeFi protocol is governed by its native token, Compound coin, with the ticker name of COMP. Compound coin allows community members to make governance decisions about the protocol through a voting system. Voting rights are given to those who hold the Compound governance token.
Users of the platform can vote on several issues such as interest allocation, which coins to add to the platform, and many more. Therefore, it promotes transparency and trust, which is a vital aspect of any blockchain project.
Impressive Bull Run
Arguably, the Compound Comp has had an impressive bull run since its launch in 2018. The Compound coin has increased significantly in price over the years. Essentially, the Compound protocol has witnessed significant growth margins due to the increase in activity within the network. The platform has attracted several investors, which, in turn, has led to enormous increases in its Total Value Locked (TVL).
TVL is the total value of assets locked within a particular protocol. In this case, the Compound platform’s TVL covers its Liquidity pool and collateral deposits available.
According to various compound forecasts, Compound price prediction indicates an excellent token to invest in due to its steady increase in price and powerful technology that is believed to withstand the test of time.
Compound Markets
How Compound Works
The Compound project is a decentralized platform that runs on the Ethereum blockchain. The Compound coin governs it. The compound governance coin has appreciated over the years since its launch in 2018. As a DeFi protocol, Compound hosts lending pools to earn interest on various cryptocurrencies. These pools allow token holders to supply their tokens to others who borrow them at algorithmically set interest rates based on supply and demand.
The platform provides cryptocurrency holders with an opportunity to earn extra coins through yield farming. Its governance token, Compound, is used to pay for transaction fees within the Compound blockchain.
When Compound was launched, it aimed to create a platform for users to use their cryptocurrency coins that sit idle on exchanges. It offers an automated lending platform that allows users to take out loans against their collateral. At Compound, cTokens are issued as a token representation of the total amount of collateral deposit.
The compound coin is a good investment that propels DeFi to the next level, assuring users of the project’s longevity. Comp tokens are expected to continue to rise in value despite the short bearish momentum that has clouded cryptocurrencies recently.
Compound Price History
Courtesy: CoinMarket Cap
The price history of Compound tokens is exceptionally vital in determining the future price of Compound tokens. We try to establish a Compound coin forecast using advanced trend analysis combined with fundamental price action analysis.
The Compound price has been stable since its launch and has increased steadily. It has a total supply and maximum supply of 10,000,000 tokens with 5,708,902 tokens in circulation.
Compound comp price recorded its all-time low price on June 18th, 2020, when it traded at a daily price of $$61.32. Consequently, the asset price of Compound rose tremendously after that until May 12th, 2021, when it recorded an all-time high price of $$910.54.
Compound price analysis of the trend line indicates that Compound prices will continue to increase in value in the following years. According to some analysts, the price of Compound could easily surpass that of Ethereum in the future.
Based on the live Compound coin price, we establish its price forecast for the future years to determine if crypto enthusiasts should consider investing in it for both the short and long term.
Compound’s all-time high price was $179.77 on October 31st, 2019. Since then, the price has been on a steady decline, reaching its all-time low of $61.32 on March 13th, 2020. Prices have recovered since then and Compound is currently trading at $65.29.Consequently, the asset price of the Compound rose tremendously until May 12th, 2021, when it recorded an all-time high price of $$910.54.
In the long run, the COMP price has yet to break out of a substantial downward trend, and the flip may not be confirmed as a breakout.
Compound Technical Analysis
The asset has been exhausted and may face a minor downturn after several continuous green candles have been recorded, according to current indications.
On the other side, however, the Bollinger bands, which usually indicate the next probable move, are pointing to a significant shift in the trend soon.
The price has reached the upper bands, and Bollinger bands are being squeezed. As a result, the price may decline somewhat as it approaches being rejected.
However, the squeeze generally results in the price breaching the consolidation and high range. It might swing high to reach heights of more than $200 if it can withstand the current resistance.
The moving averages are presently indicating a bullish market for COMP. The 50-day moving average is well above the 200-day moving average, which is a strong bullish signal. The Relative Strength Index (RSI) is also in favor of the bulls as it stands at 65.48 and continues to head north. The MACD line is also above the signal line, which is another bullish indicator.
The bulls are in control of the market as the price action is above the moving averages. The short-term trend is bullish, and a breakout to the upside might occur soon.
Pros and Cons of Investing in Compound
Investing in futuristic or revolutionary ideas has always proven to be profitable for individuals if the projects succeed. As for Compound, the occasional price drop experienced in the crypto space has not altered the long-term speculated growth of Compound tokens price.
Here are some reasons to invest in Compound:
- It provides an opportunity for crypto enthusiasts to invest in the promising DeFi sector.
- It can grow in value over time since it is backed by solid and well-established technology.
- Currently, the price of one Compound coin is underpriced, giving investors a chance to earn interest on their investments in the future.
- Due to increased activity on the crypto exchanges and an increase in its 24hr trading volume, the price of Compound digital assets has become increasingly volatile, allowing short-term traders and scalpers to make short-term trades.
Digital assets like Compound offer crypto risks and expose investors to risks particular to the blockchain project itself.
- The technology is relatively new and already has competent competitors such as Aave that is equally as promising.
- The long-term Compound forecast is highly speculative, and since crypto is highly volatile, some risks cannot be accounted for in the comp tokens price prediction.
Compound Price Prediction By Authority Sites
WalletInvestor
According to wallet investors’ Compound coin forecast, they are optimistic about the future of compound as an investment. Based on their COMP price forecast, a long-term increase is expected, and the price prognosis for 2026 is $63.04 US Dollars. Long-term investors are also said to be profiting from compounding as it is one of the safest investments in the current market.
LongForecast
The projected COMP price is anticipated to reach $86.446 by the end of December 2022. The expected maximum price is $127.127, with a minimum value of $86.446. According to the Compound coin price prediction for 2022, it may trade at around $101.701 by the end of this year.
DigitalCoinPrice
Compound coin appears very promising. According to their predictions, the coin may hit $173.86 by the end of 2022 and $249.66 by the end of 2026.
Cryptopolitan
Compound Price Prediction 2022
In 2022, when cryptocurrency markets recover and Cryptos and DeFi reach their highest levels, according to experts. Virtual currencies will begin a bull market in the first half of 2022, which will be followed by a prolonged bearish trend. This bearish momentum establishes a barrier that must be overcome in order for there to be another strong bull run in 2022
By the year 2022, we anticipate a rise in decentralized finance, and Compound coins will most likely close the year at a low price of $81.19 with a maximum price of $93.54. The predicted average price is $84.53.
Compound Price Prediction 2023
In 2023, the price of Compound is expected to drop to a minimum of $116,09. Throughout 2023, the 1inch Network price might reach a high of $141.09, with an average price of $120.02.
Compound Price Prediction 2024
For the year 2024, the maximum price of Compound will be $197.83. The Compound average price forecast at the end of 2024 can be around $174.79. Within the defined range, there will be a large price turnover.
Compound Price Prediction 2025
In 2025, the Compound will probably reach its all-time high. The price could exceed $257.88 and might even touch $297.62. Compound’s average price will be around $266.62 during this year.
Compound Price Prediction for 2026
The price of the COMP token is expected to fall in 2026 and might reach a minimum of $377.81. Compound might close the year at a maximum price of $444.70 with an average price of $391.14 for the year.
Compound Price Prediction for 2027
In 2027, there is a chance that Compound will once again reach its all-time high price and exceed $657.27. The average price of Compound in 2027 can be around $573.80 while a minimum price of $558.15 is expected.
Compound Price Prediction for 2028
The price of Compound is expected to drop in 2028 and might bottom out at $829.58. The coin might close the year at $ 982.48, with an average price of $858.27
Compound Price Prediction for 2029
In 2029, the price of Compound is expected to rebound and might reach a maximum price of $1,427.36. The average price of Compound in 2029 can be around $1,187.83 and a minimum price for COMP would be $1,153.50
Compound Price Prediction for 2030
The price of Compound is expected to continue its upward trend and might reach $1,977.03.The average price of Compound in 2030 can be around $1,612.33 and a minimum price of $1,552.94.
The future of COMP looks bright, and the price is expected to continue its upward trend in the coming years. Investors are advised to hold onto their COMP tokens as the price is expected to reach new all-time highs in the future.
Conclusion
The compound token is a generally safe crypto investment for the short and long term. The safety of any crypto investment is mainly established by the solidity of the project to determine its probable lifespan. The Project is a solid DeFi project that is expected to dominate the DeFi space.
The Compound platform allows users to take out loans in DAI, which is a DeFi stablecoin. Stablecoins can then be converted to fiat currency, depending on your needs. The platform generally offers affordable exchange rates, and since it is a DeFi platform, it has increasingly boosted investor confidence.
The Compound token offers massive growth potential in the future, and individuals are encouraged to invest early to benefit from the high potential future returns. As for all cryptocurrencies, invest in Compound crypto only the amount you can afford to lose.
FAQs about Compound
What are the risks of investing in Compound?
No significant risks precede the normal risks investors take when trading in the crypto market. However, Compound faces competition from Aave, which may affect its performance if Aave offers better services than Compound in the future.
Where can I buy Compound crypto?
You can buy Compound tokens on several centralized and decentralized exchange platforms. Today, you can purchase Compound crypto on Binance, Coinbase Pro, and Huobi Global. The compound coin is also traded against fiat currencies such as USD on most of the exchanges.
Should I invest in Compound?
Depending on your risk tolerance and preference, a Compound coin can be an excellent investment or not. Short-term investors may not reap good profits from Compound this year considering the forecast; however, forecasts indicate a nice bullish trend from the beginning of 2022. Therefore, long-term investors can invest in Compound. Short-term interests in Compound coins are encouraged for day traders and scalpers.
Is Compound profitable for short-term investors?
Short-term investment in Compound is discouraged. Do not engage in everyday market trading as short-term fluctuations are widespread for Compound.
Should I buy and hold Compound for the long term?
Yes. Compound coin price prediction indicates an apparent positive growth in the future. Since the DeFi project is certified as a credible long-term project, investors are encouraged to conduct more research on the project and invest wisely. However, according to the price forecast, the Compound token is an excellent investment to buy and hold for the long term. Please conduct your own research, review, analyze and verify information from reliable sources before investing the amount you can afford to lose.
You can buy Compound tokens on several centralized and decentralized exchange platforms. Today, you can purchase Compound crypto on Binance, Coinbase Pro, and Huobi Global. The compound coin is also traded against fiat currencies such as USD on most of the exchanges.
Source: https://www.cryptopolitan.com/compound-price-prediction/