đ¨đ¨AMP token price soars as volume spikes but it could retreat soon.đ¨đ¨
Amp price surged by over 150% on Tuesday.
đThere was no important news from the developers.
đThe surge is likely a short squeeze in the ecosystem.
Ampere (AMP) token price went parabolic on Tuesday, becoming one of the best-performing cryptocurrencies in the market. It surged to $0.017, a 150% increase from its lowest point on Monday. It has jumped by over 1,095% from its lowest point in 2023, giving it a market cap of over $829 million.
It was unclear why the AMP token went parabolic this week since the network has gone through major changes. Earlier this month, the developers announced that they would launch two projects: Ampera and Anvil.
Ampera will focus on digital payments while continuing its collateral for the Flexa ecosystem. On the other hand, Anvil will be the new platform for issuing digital letters of credit and will be governed by the ANVL token. Anvil will be launched in the next few months after coming out of its testing.
One reason for the AMP price jump is that this could be a short squeeze. A closer look shows that it was one of the most trending tokens in key social media platforms like StockTwits and Reddit.
Also, the volume of the token went up sharply. Data compiled by CoinGecko shows that the volume surged to over $111 million on Tuesday, up from $8.6 million on Monday. This was its highest daily volume since February 23rd when it spiked to $156 million.
