[dYdX Price Drops as Season 5M Incentive Program Launches: Will DYDX Rebound? 】
dYdX, a Layer 2 decentralized exchange running on a proof-of-stake blockchain, has seen its token drop significantly over the past 24 hours, showing signs of a bear market. At the time of reporting, the token was trading at $1.28, down 5% during the European trading session. According to CoinMarketCap, it currently has a market capitalization of approximately $773 million, ranking 83rd. Trading volume fell 57% to approximately $18 million in 24 hours.
dYdX price has been volatile over the past week, falling 9%. Over the past 24 hours, the price range has been between $1.25 and $1.35. The coin’s all-time high price was $4.53 five months ago and has since fallen by a massive 71%. dYdX has been underperforming in the market recently, with the monthly chart showing a 10% price drop. The coin reached an all-time low of $1.02 about 20 days ago, although it has since recovered slightly.
dYdX recently concluded its fifth season of the launch incentive program, distributing $5 million in DYDX tokens to 2,700 accounts, and began its sixth season of its incentive program to drive engagement and support its community. In Season 5, over 4,000 traders have accumulated points, demonstrating the broad reach of the program within the dYdX ecosystem.
On August 1, the dYdX token will have an important unlocking event, and approximately 8.33 million DYDX tokens (approximately 3.65% of the circulating supply) will be unlocked, which may affect its market price. Historically, token unlocks have often resulted in increased price volatility. Investors may view this unlocking as a signal of increased liquidity and strengthening of the network, boosting confidence and driving prices higher.
Currently, dYdX price is facing strong resistance at $1.40. If bulls return to the market, a successful move above this level could push the price towards $2 or even $5. However, if the bears increase the pressure, the price could fall back to the $1.20 support or even drop further to $1.10.
24-hour technical indicators show a significant decline in the value of dYdX trades. The Moving Average Convergence Divergence (MACD) is showing bearish momentum at -0.162, indicating that the negative trend may continue. Additionally, the relative strength index (RSI) is at 37, which is approaching oversold territory but not yet within it.
