The dYdX coin price has continued declining in the past few weeks even as the developers tease about a major announcement. The coin has dropped to a low of $3.71, which is about 86% below the highest level in 2021. The current price is close to its all-time low, bringing its market cap to about $362 billion.
dYdX is a leading blockchain project in the decentralized exchange (DEX) industry. It is a DEX that is mainly focused on perpetual contracts, which are futures without any expiry date. It also provides deep liquidity and high leverage, giving investors up to 20x buying power. dYdX provides some of the leading coins like Dogecoin, Shiba Inu, EOS, and Avalanche on its platform.
The main dYdX platform was built on top of Ethereum’s platform. But recently launched a layer-2 platform known as StarkWare that provides low fees and no gas costs, fast withdrawals, and fast trades executions. According to its website, it has processed cryptocurrencies worth over $1.3 billion in the past 24 hours. In addition, open interest in the same period has risen to about $885 million.
The dYdX has been in the spotlight recently as investors wait for a major announcement from the company. The platform’s social media pages have been teasing some upcoming news in the past few days. It is still too early to predict the announcement, but some watchers believe that it will either be funding or rebranding.
dYdX coin price prediction
The daily chart shows that the DYDX coin has been in a strong bearish trend in the past few months. It has already erased about 86% of its value. The sell-off continued lately when the coin declined below the important support level at $4.27, the lowest level in March this year.
Now, DYDX has formed a bearish flag pattern, which is usually a sign that it will continue dropping. In addition, it has moved below the dots of the Parabolic SAR. Therefore, there is a likelihood that the coin’s price will have a bearish breakout in the coming days. If this happens, the next key level to watch will be at $3. The stop for this view will be at $5.