Usual quickly heated up after trading, and there is a certain degree of uncertainty regarding whether there will be a correction in the future. The following is a specific analysis:
Possible factors for adjustment
- Profit-taking pressure: The rapid rise in a short period has allowed some early investors and airdrop holders to accumulate considerable profits. They may choose to sell and cash out at high levels, and once a large amount of profit-taking occurs, increased market supply may bring downward pressure on prices.
- Technical adjustment requirements: From a technical analysis perspective, usual prices have formed an ascending wedge, and the daily Relative Strength Index (RSI) hovers in the overbought zone above 90%. This is usually a signal of market overheating, indicating that prices have risen too quickly in the short term, and the market may need a technical adjustment to digest the gains.
- Market sentiment fluctuation impact: The sentiment in the cryptocurrency market fluctuates significantly. If the overall market sentiment shifts from the current optimism to caution or panic, investors' willingness to buy may weaken, leading to a correction in usual's price.
- Competition and substitution risks: The stablecoin market is highly competitive. Although usual has its unique advantages, it also faces competition from other stablecoin projects. If competitors launch more attractive products or services, it may lead investors to shift their funds, thereby suppressing usual's price and causing a correction.
Possible factors for continued rise or maintaining high levels
- Project fundamentals advantages: Usual, as a secure and decentralized fiat-backed (RWA) stablecoin issuance protocol, has certain innovations and advantages. Its core product, usd0, is 100% backed by US Treasury bonds, offering high stability and security. Additionally, it provides users with considerable returns through staking and other mechanisms, making it attractive to long-term investors.
- Market demand and application scenario expansion: With the development of the cryptocurrency market, the demand for stablecoins is continuously increasing. Usual, with its unique mechanism and advantages, is expected to be used in more application scenarios, such as decentralized finance (DeFi) and cross-border payments. This will further increase its market demand and support price stability or continued rise.
- Exchange support and traffic advantages: Listing on large cryptocurrency exchanges like Binance has brought significant traffic and attention to usual. The support of large exchanges not only enhances the project's visibility and credibility but also provides investors with convenient trading channels, helping to attract more capital inflow and pushing prices up or maintaining high levels.
- Community support and ecological development: Usual emphasizes community participation and governance, with 90% of the token distribution allocated to the community. This transparent and fair distribution method enhances community trust and support for the project. At the same time, the project party encourages users to actively participate in ecological construction through measures such as launching the usualx empowerment mechanism. As the community continues to grow and the ecology gradually improves, it will provide strong support for usual's price.