What's Driving Token Prices? (April 13, 2022)

Katie Talati
Apr 13, 2022
Join Katie Talati, Arca’s Head of Research, weekly on Wednesday at 4PM EST / 1PM PST as she shares notable token activity over the past week and her insights on what market events drove these token price movements.
 

  • NEAR (+3%) - Near, the Layer 1 protocol focused on sharding as its scaling solution, announced last week it had raised $350M in new funding led by Tiger Global with participation from Republic Capital, FTX Ventures, Hashed, and Dragonfly Capital. This is Near’s second raise in 2022, the first one equaling $150M. In addition, NEAR announced it intends to launch its own stable coin, USN, which will have similar lending rates as UST did on Terra (20%). The NEAR token initially rose 21% after the news broke, however has since fallen, ending the week up 3%`.
  • ATOM (-8.9%) - Layer 1 protocol Cosmos completed its Theta Upgrade yesterday, which included the addition of “Interchain Accounts.” Interchain Accounts is a feature that allows users to use the same wallet address across all Cosmos IBC chains, increasing the usability and user experience of Cosmos for long term adoption of its chains. The trailing 7 day transactions were down 40% in anticipation of the upgrade.
  • BOBA (-6.4%) - Boba, a Layer 2 network, announced the close of their $45M Series A round at a $1.5B valuation. At the time of the announcement, the token was trading at a market cap of $900M, causing the token to trade up on the news.
  • CEL (-28%) - Celsius, a centralized crypto loan company, announced yesterday that it was banning non-accredited U.S. investors from earning crypto rewards while using their platform. Since most customers use Celsius to loan their crypto in exchange for interest and reward payments in the native CEL token, this could potentially stymy a decent amount of Celsius’s business. The CEL token traded down -28% on the news.
DISCLAIMER: This commentary is not intended to be investment advice, investment research, or a recommendation. Please consult your investment professional for your own circumstances."

Subscribe For the Latest Blockchain News & Analysis

Disclaimer here

You May Also Like

These Stories on Investing Themes

No Comments Yet

Let us know what you think

©2020 by Arca Funds Past performance is not indicative of future results. Past performance is not indicative of future results. Investors should carefully consider the investment objectives, risks, charges and expenses of funds sponsored by Arca Funds (the "Funds"). Other important information about the Funds are in each respective Fund's offering documents. A Fund's offering documents should be read carefully before investing. Disclaimer: This commentary is provided as general information only and is in no way intended as investment advice, investment research, a research report or a recommendation. Any decision to invest or take any other action with respect to the securities discussed in this commentary may involve risks not discussed herein and such decisions should not be based solely on the information contained in this document.